Non-Competent Fee from sale of Business Asset taxable as LTCG

Pr. CIT Vs M/s. Monsanto India Ltd. (Bombay High Court)

Tribunal recorded that the Non ­Compete Agreement was part of the agreement for the sale of the business. Under this Agreement, the Assessee could be seen to have transferred the right to manufacture the product in question. The Tribunal, therefore, was of the opinion that such receipt would not be covered by Section 28(va) of the Act. The Tribunal further held that the Assessee was in the business since the year 1997 and that, therefore, the transfer of the capital as

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