2012 (1) TMI 379

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..... behest of the Revenue which has emanated from the order of Learned CIT(Appeals)-Valsad dated 12/06/2008. and the solitary substantial ground reads as under:- Relief claimed in Appeal The learned C.I.T. (Appeals) erred in deleting the aggregate additions of ₹ 50,00,000/- made by the AO on account of Non Compete fees treated as revenue expenditure, by the Assessing Officer may kind .....

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..... eu, the assessee had received ₹ 50 lacs as lump sum amount. As per AO, it was a revenue receipt, hence taxed accordingly by referring section 28(va) of IT Act. 3. Ld. CIT(A) has discussed several case laws and thereafter noted that at the time when the Ranbaxy Lab Ltd. had decided to take over the product of Gufic Ltd. definitely there was a threat of damaging the interest of Ranbaxy L .....

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..... of the said cited decision were identical that during A.Y.1997-98 the said appellant had received ₹ 50 lacs from Ranbaxy Lab Ltd. as non-competition fees in terms of an agreement dated 31/03/1997. The relevant portion is reproduced hereunder:- The assessee, which was carrying on the business of manufacturing, selling and distribution of pharmaceutical and medical preparations, receive .....

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