Affirming the order of the Tribunal the Court held that amount received on surrender of granted the right to market and sale of patent product of the assessee under the brand name of Pfizer. Court held that surrender of the rights results in impairment of profit making apparatus of the assessee and therefore, is a capital receipt. (AY. 2000-01)
CIT v . Sanofi Healthcare India (P) LTD. (2025) 342 CTR 326 / 245 DTR 17 (Telangana)(HC)
S. 4 : Charge of income-tax -Amount received for surrender of right in patent and trademark/negative covenant—Capital receipt. [S. 28(i)]
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