2016 (9) TMI 1506 - HC - Income Tax

Characterization of income - compensation from Castrol UK for delay in payment of proceeds of shares tendered under the open offer - HELD THAT - Appeal admitted on the following substantial question of law - Whether on the facts and circumstances of the case and in law the Tribunal erred in holding that compensation received by the appellant from Castrol UK for delay in payment of proceeds of shares tendered under the open offer is includible in Capital Gains as against Interest Income?

Summary

The Bombay High Court heard an appeal related to the Assessment Year 2002-03. The substantial question of law was whether compensation received for delay in payment of shares tendered under an open offer should be included in Capital Gains or Interest Income. The Registry was directed to communicate the order to the Tribunal for further proceedings.