https://www.taxtmi.com/caselaws?id=59572 Compensation received on termination of a commercial arrangement with a foreign company was held outside section 28(ii)(c) because the agreement lacked the essential legal incidents of agency: the assessee could not bind the principal and could only procure orders subject to acceptance. The receipt was nevertheless treated as revenue income to the extent it represented cancellation of a trading arrangement that did not impair the business structure or source of income. A separate one-year non-compete restraint was treated as a restrictive covenant, and the consideration attributable to that covenant was capital in nature and not taxable. en-us Thu, 11 Dec 2008 00:00:00 +0530 Wed, 01 Aug 2012 17:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=59572 Compensation received on termination of a commercial arrangement with a foreign company was held outside section 28(ii)(c) because the agreement lacked the essential legal incidents of agency: the assessee could not bind the principal and could only procure orders subject to acceptance. The receipt was nevertheless treated as revenue income to the extent it represented cancellation of a trading arrangement that did not impair the business structure or source of income. A separate one-year non-compete restraint was treated as a restrictive covenant, and the consideration attributable to that covenant was capital in nature and not taxable. Case-Laws Income Tax Thu, 11 Dec 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=59572