INCOME TAX ACT, 1961

Section 28

Business income - Additional compensation of land received by assessee from HUDA - Land acquired by HUDA pertained to Orris Infrastructure (P) Ltd. -

AO taxed additional compensation of land received by assessee from HUDA as business income of assessee. Assessee contended that land acquired by HUDA pertained to Orris Infrastructure (P) Ltd. Held: Since the entire land rights were transferred by assessee to Orris Infrastructure (P) Ltd. and enhanced compensation including interest thereon was offered to tax by Orris Infrastructure (P) Ltd. after claiming deduction of 50% of interest under section 57, the same income could not be taxed in the hands of assessee.

REFERRED :

FAVOUR : In assessee's favour.

A.Y. : 2015-16

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