https://www.taxtmi.com/caselaws?id=7071 Interest on a debt compromised by decree was treated as assessable where the debtor-creditor relationship had ended and the decree recorded satisfaction of the liability. The Court held that a fresh mortgage taken in favour of the karta's sons created a new debt in their favour and did not operate as substituted security for the assessee. On those facts, the interest liability stood discharged, and no actual physical receipt was required for tax treatment. The amount was therefore assessable as the assessee's income, and the Revenue succeeded. en-us Wed, 05 Jul 1967 00:00:00 +0530 Sun, 08 Feb 2009 11:24:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7071 Interest on a debt compromised by decree was treated as assessable where the debtor-creditor relationship had ended and the decree recorded satisfaction of the liability. The Court held that a fresh mortgage taken in favour of the karta's sons created a new debt in their favour and did not operate as substituted security for the assessee. On those facts, the interest liability stood discharged, and no actual physical receipt was required for tax treatment. The amount was therefore assessable as the assessee's income, and the Revenue succeeded. Case-Laws Income Tax Wed, 05 Jul 1967 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7071