Description : Assessee entered into an agreement for purchase of property for infrastructural facilities for business, assessee terminated the agreement and paid compensation, payment to be treated as capital in nature and not allowable as revenue expenditure.
Source: 1. AIFTP TIMES, Volume.2. January, 2011.Page No.12.
2. www.aiftponline.org.
Our Comment : Compensation on termination of agreement, Not taxable, Capital Assets.
