https://www.taxtmi.com/caselaws?id=328531 Compensation awarded by a Motor Accident Claims Tribunal for death or bodily injury is restitutive and rehabilitative in character, serving as solatium for loss suffered rather than income. Interest accruing on delayed payment of that award does not change its essential nature or bring it within the taxable net. Because the award and the related interest remain part of a social welfare remedy, they are not subject to tax deduction at source under the Income-tax Act, 1961, and withholding tax on such amounts is unsustainable. en-us Thu, 02 Jun 2016 00:00:00 +0530 Wed, 10 Aug 2016 17:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=328531 Compensation awarded by a Motor Accident Claims Tribunal for death or bodily injury is restitutive and rehabilitative in character, serving as solatium for loss suffered rather than income. Interest accruing on delayed payment of that award does not change its essential nature or bring it within the taxable net. Because the award and the related interest remain part of a social welfare remedy, they are not subject to tax deduction at source under the Income-tax Act, 1961, and withholding tax on such amounts is unsustainable. Case-Laws Income Tax Thu, 02 Jun 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=328531