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2019 (3) TMI 900 - HC - Income TaxExemption u/s 10(1) - Agricultural activity - Character of income - As per revenue Assessee company cannot be categorized as agricultural operation - tribunal allowed the claim - HELD THAT:- As decided in assessee's own case [2019 (2) TMI 1442 - BOMBAY HIGH COURT] order of the Tribunal dismissed the Revenue's appeal before it on the above issue following an order of this coordinate bench for Assessment Year 2000-01 in respect of the same respondent assessee. It also notes the binding order in CIT Vs. M/s. Monsanto India Ltd.[2011 (8) TMI 1298 - BOMBAY HIGH COURT] raising the same issue, which were dismissed by this Court - As the impugned order has followed the decision of this Court, no fault can be found with the same -Tribunal was correct in treating its commercial income of the sale of hybrid seeds, as agricultural income exempt under Section 10(1) - Decided against revenue Receipts under a Non-Compete Agreement - capital gain or business receipt - Tribunal held that the receipt was capital and it gave rise to long term capital gain - HELD THAT:- Tribunal was right on both counts. The Non-Compete Agreement was part and parcel of the sale of the business and cannot be seen in isolation. Further, the Assessee was in the business of producing and selling wheat herbicides since the year 1997 and therefore, while selling the business, the Assessee also executed a NonCompete Agreement, which was part of the sale of assets held by the Assessee in excess of 36 months. - Decided against revenue
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