Assessee-company is  engaged in manufacture of pharmaceutical products.  It entered into an agreement with its joint venture company on 12-3-2002 to effect that it will not engage in marketing, distribution and sale of its products for a certain period. Assessee received non compete fee from its joint venture company and claimed same as capital receipt. Assessing Officer treated non compete fee as being revenue receipt. CIT(A) deleted the addition. On appeal the Tribunal held that  since agreement entered into by assessee with joint venture company was a negative covenant restricting assessee from carrying out its certain activities, which nevertheless was a loss of source of business to assessee, non compete fee received by assessee is in nature of capital receipt for year under consideration and it is  not liable to tax. Amendment introduced by, Finance Act, 2002, with effect from 1-4-2003  is applicable only after the assessment year 2003-04.  (AY. 2002-03)