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2013 (5) TMI 525 - AT - Income TaxIncome u/s 2(24) - Amount received by the shareholders - Whether Rs.60,59,303/- received by the assessee under the agreement from M/s.Tyco Electronics Middle East FZE, Dubai was exempted income from Income Tax? - whether the amount received by the assessee in consideration of exercising its voting right in the meeting of RPG Raychem Ltd. was a wind fall receipt in the hands of the assessee? - Held that:- Consideration was received by the assessee in lieu of its exercising of voting rights in a particular fashion. It is not in dispute that to exercise voting rights is not the business of the assessee. It is also not in dispute that similar receipt has never been received by the assessee either in the earlier years or in the subsequent years. The receipt was not of recurring in nature. The DR could not point out any distinguishable facts in the instant case from the facts which were in the case of CIT vs David Lopes Menezes (2010 (10) TMI 11 - BOMBAY HIGH COURT (GOA)) wherein held that the burden of proving that a receipt is of revenue character initially rests on the revenue which have not discharged. Also the receipt was a casual receipt in the nature of windfall arising out of one time event of affirmative voting on a resolution. It was not of repetitive character and was not likely to happen again, thus Hon'ble Bombay High Court being a superior court decision of the same should be respectfully followed & in the absence of any other contrary decision being cited by the Revenue the receipt of Rs.60,59,303/- was not in the nature of income in the hands of the assessee company - appeal of the assessee is allowed.
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