2002 (12) TMI 60

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ourt, the Income-tax Appellate Tribunal has stated a case and referred the following question of law for our consideration: "1. Whether, on the facts and in the circumstances of the case, the Appellate Tribunal is right in law and had valid materials to hold that the interest amount received by the assessee in respect of additional compensation awarded by court, should be assessed on accrual basi .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ble to the previous year only and restricted the amount of interest taxable for that assessment year. As against the order of the Commissioner of the Income-tax (Appeals), the Revenue carried the matter in appeal before the Tribunal. The Tribunal, following a decision of the Supreme Court in the case of CIT v. T. N. K. Govindrajulu Chetty [1987] 165 ITR 231, has held that the interest awarded by .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ovindrajulu Chetty [1987] 165 ITR 231 held that where the compensation awarded under the Land Acquisition Act was enhanced by the order of the court on a reference under section 18 of the Act or on further appeals, the interest on enhanced compensation cannot be taxed all in a lump sum as having accrued on the date on which the court passed the order for enhanced compensation. The Supreme Court he .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X