Interest on compensation taxable under income from other sources: ITAT Delhi

Vachaspati Sharma Vs ITO (ITAT Delhi) ITAT Delhi held that the interest on compensation or on enhanced compensation cannot be considered as compensation and shall be chargeable to tax under the head income from other sources. Accordingly, appeal dismissed. Facts- The assessee had ancestral rural agricultural land situated at Badha in the district of Gurgaon which was acquired by the Government of Haryana for public interest. The assessee has received enhanced compensation including interest u/s. 28 of the Land Acquisition Act 1894 of Rs.4,78,95,44/- during the year as per the decision of the C...