Long-Running Tax Dispute on Non-Compete Fees Settled; Capital Nature and Depreciation Rights under Income Tax Act Clarified: Supreme Court

This news explains an important decision of the Supreme Court that settles a long-standing controversy under the Income Tax Act regarding the tax treatment of non-compete fees. For more than twenty years, tax authorities and businesses disagreed on whether such payments are routine business expenses or capital investments. The Supreme Court has now provided clear legal guidance. Issue Before the Supreme Court The central question before the Supreme Court was…