Assessee is a wholly owned step down subsidiary of YRIPL incorporated on a non-profit making purpose for managing advertising and marketing at local store level from franchisees. Assessee co., its parent co. and franchisees had entered into tripartite agreements (franchisee agreements) whereby assessee received certain contributions from franchisees in order to carry on co-operative advertising. Assessee contended that since contributions received were for predefined purposes for incurring them on advertising, marketing and promotion (AMP) activities, contributions were diverted at source by overriding title. Tribunal held that it was after receipt of income that obligation to spend on AMP arose and there was no obligation on assessee to spend any definite amount every year. Tribunal also held that merely mentioning that it will act on non-profit basis did not make income received by assessee diverted by overriding title. Accordingly the income of assessee was not diverted by overriding title but was merely an application of income of assessee and therefore chargeable to income tax. (AY. 2001-02 to 2003-04, 2006-07, 2008-09 to 2010-11 and 2013-14)