hello everyone,
one of our cilent is in agreement(written) with the surrounding housing soc. whereby no society shall develop its building beyond a certain height however one of the surrounding building has went under redevelopment and has crossed the restricted height,hence the society developer has agreed to pay certain amount to our cilent as compensation for breach of agreement.
please clarify whether such receipt would classify as capital or revenue receipt, or whether such compensation can be deemed as paid for surrender of right.
thankyou
CAclubindia
