https://www.taxtmi.com/caselaws?id=285472 Foreign exchange forward contracts entered into to hedge a capital investment were treated as having the same character as the underlying investment where the contracts had a direct nexus with acquisition or protection of the capital asset. On that basis, the gain arising on settlement of the hedging contracts was held to be capital in nature and not assessable as business income or income from other sources. The receipts were therefore taxable, if at all, only under the capital gains head, giving relief to the assessee. en-us Fri, 21 Dec 2012 00:00:00 +0530 Mon, 09 Jan 2023 13:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=285472 Foreign exchange forward contracts entered into to hedge a capital investment were treated as having the same character as the underlying investment where the contracts had a direct nexus with acquisition or protection of the capital asset. On that basis, the gain arising on settlement of the hedging contracts was held to be capital in nature and not assessable as business income or income from other sources. The receipts were therefore taxable, if at all, only under the capital gains head, giving relief to the assessee. Case-Laws Income Tax Fri, 21 Dec 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=285472