Interest on Enhanced Land Compensation Taxable as Income in Year of Receipt

Puneet Singh Vs CIT (Punjab and Haryana High Court) The Punjab and Haryana High Court disposed of a batch of three appeals filed under Section 260A of the Income Tax Act, 1961, as they involved identical facts and questions of law. The appeals arose from an order of the Income Tax Appellate Tribunal which had upheld additions made on account of interest received on enhanced land acquisition compensation. The core issue before the Court was the taxability and character of interest received by a landowner under Section 28 of the Land Acquisition Act, 1894. The land in question had been acquired ...