Assessee entering into agreement to purchase 100 Aircrafts from French manufacturer with option to select engine to be fitted therein.\u00a0 Engine manufacturer giving assessee credit for selecting its engines. Credits not subsidy or\u00a0 discount or\u00a0 commission.\u00a0 Assessee not engaged in trading of\u00a0 Aircraft or\u00a0 business of\u00a0 receiving credits. Credits received in form of\u00a0 money and not benefit or perquisite arising from business. Credits not incidental to or derived from business of\u00a0 operation of\u00a0 commercial Aircraft. Not a case of\u00a0 adventure in nature of\u00a0 trade. Subsequent acquisition of\u00a0 Aircraft on\u00a0 lease not material. Purpose of\u00a0 credits to provide support for Aircraft acquisition. Credits were capital receipt. No sale consideration flowing to assessee from lessors assessable to Capital gains tax.\u00a0\u00a0 No presumption that transaction or agreement is colourable or\u00a0 sham-Construction of document primarily to be on basis of\u00a0 terms and conditions therein-Nature of\u00a0 receipt to be judged in hands of\u00a0 recipient.\u00a0 Entries in books of\u00a0 account not determinative of\u00a0 character of\u00a0 receipt as income. (AY.2012-13)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 28(1) : Business income-Capital or revenue-Benefit or perquisite arising from business-Engine manufacturer giving assessee credit for selecting its engines-Not assessable as revenue receipt or capital gains-Capital receipts-Construction of documents-Nature of receipt to be judged in hands of recipient-Entries in books of account not determinative of character of receipt as income. [S.4, 28(iv), 45, 48] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-35703","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-9hR","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35703","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=35703"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35703\/revisions"}],"predecessor-version":[{"id":35704,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/35703\/revisions\/35704"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=35703"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=35703"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=35703"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}