Case Law Details
The Words ‘Not Sharing’ In Section 28(va)(b) Control The Extended Meaning Of Taxable Income As Appearing In This Section
The clause (va) has been inserted in section 28 of the Income Tax Act, 1961(herein referred to as ‘the Act’) by the Finance Act, 2002 with effect from 1.4.2003 relevant to A.Y. 2003-04. Section 28 of the Act enlists certain incomes chargeable to Income Tax under the head “Profits and gains of business or profession”. Section 28(va)(b), subject to its Proviso and Explanation, deals with payment received for not sharing trade mark etc.
Recently, in Orient Blackswan Private Limited, Hyderabad vs. ACIT, Hyderabad [ITA No.252/Hyd/2012; A.Y.2008-09, ITA No.731/Hyd/2014; A.Y. 2009-10, ITA No.732/Hyd/2014; A.Y. 2010-11, Date of Pronouncement 06.07.2016], the three appeals were filed by the assessee/ appellant against similar but separate orders of the CIT(A) V, Hyderabad dated 21.12.2011 for the A.Y.s 2008-09 and dated 31.10.2013 for the A.Y.s 2009-10 and 2010-11. Since common issues were involved in these appeals involving common factual background, these appeals were disposed of by the common order for the sake of convenience.
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