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TMI Blog2019 (4) TMI 1237X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Assessing Officer and of the CIT(A) and holding that the whole of the income of Rs. 7 crore as per the agreement dated 12.01.2009 towards 'sale of rights' to M/s. INX Media Pvt. Ltd. did not accrue to the assessee during the previous year relevant to assessment year 2009-10? b). Whether on the facts and in circumstances of the case and in law, the Tribunal was justified in reversing the orders of the Assessing Officer and of the CIT (A) and holding the 'expenses for purchase of rights of Rs. 1.50 crore held as in the nature of "dead expenses" as allowable within the meaning of Section 37 of the Income-Tax Act, 1961? c). Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n relation to sum of Rs. 5 crores actually paid by INX Media. The Tribunal in the impugned judgment also noted that the assessment of INX Media was also being done parallel by the same Assessing Officer before whom INX Media had claimed expenditure of only Rs. 5 crores and no more. Under such circumstances, the Tribunal was of the view that, merely because in the original agreement, the parties had agreed to a sum of Rs. 7 crores by way of sale consideration, such amount cannot be stated to have accrued to the assessee, ignoring later developments. 4. We are broadly in agreement with the view of the Tribunal. The facts as noted above clearly show that, the terms of initial agreement were revised through the addendum which was also executed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... purpose of services rendered by the Consultant. No question of law arises in this respect. 6. The sole surviving Question no.(b) arises in following background. The respondent-assessee had purchased copyrights from three different agencies for the limited period of two years by making totally payment of Rs. 2.25 crores. However, the assessee could license out subject rights in favour of INX Media, only for one of the three supplier's copyrights for the consideration of Rs. 75 lakhs. The remaining two purchasers of copyrights costing Rs. 75,00,000/- each could not be licensed. In the result, the assessee could recover only Rs. 75,00,000/- out of the total purchase of Rs. 2.25 crores. The Assessing Officer disallowed the expenditure. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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