Amount received for not carrying out any activity relating to business taxable as business income: Kerala HC

Geojit Investment Services Ltd Vs CIT (Kerala High Court) Kerala High Court held that amount received, under an agreement, for not carrying out any activity in relation to any business or profession would attract provisions of section 28(va)(a) of the Income Tax Act and hence the same is chargeable under the head of “Profits and gains of business or profession”. Facts- The appellant was a wholly owned subsidiary of Geojit Financial Services Ltd. [GFSL], a public listed company, which was primarily engaged in the business of equity and derivatives brokerage. In March 2007, BNP Paribas S.A. ...