https://www.taxtmi.com/caselaws?id=219154 The Court held in favor of the assessee regarding the disallowance of interest payment, ruling that it was compensatory, not penal, as it arose from a failure to meet obligations, not a violation of law. The Court found ambiguity in the disallowance of interest under Section 43B(e) and remitted the matter for further clarification. The first question was answered in favor of the assessee, while the second question was partially allowed in favor of the Revenue. The judgment highlighted the importance of distinguishing between penal and compensatory payments for tax purposes. en-us Tue, 20 Nov 2012 00:00:00 +0530 Thu, 06 Dec 2012 08:46:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=219154 The Court held in favor of the assessee regarding the disallowance of interest payment, ruling that it was compensatory, not penal, as it arose from a failure to meet obligations, not a violation of law. The Court found ambiguity in the disallowance of interest under Section 43B(e) and remitted the matter for further clarification. The first question was answered in favor of the assessee, while the second question was partially allowed in favor of the Revenue. The judgment highlighted the importance of distinguishing between penal and compensatory payments for tax purposes. Case-Laws Income Tax Tue, 20 Nov 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=219154