Receipt of compensation by Sushmita Sen in lieu of settlement of a sexual harassment case not liable to tax

Sushmita Sen Vs ACIT (ITAT Mumbai) Conclusion: Amount received by SushmitaSen from Coca Cola Company in connection with settlement of a sexual harassment case was not liable to tax as the compensation received could not be termed as any benefit, perquisites arising to the assessee out of the exercise of profession. Held: In the instant case, assessee-actress, received Rs. 145 Lacs from M/s Coca-Cola India Limited but offered only a part of the same i.e. Rs.50 Lacs to tax and claimed the balance Rs.95 Lacs to be capital receipts in nature in view of the fact that the same represented compensati...