https://www.taxtmi.com/caselaws?id=366378 The Court dismissed the revenue's appeal, affirming the Tribunal's decision that the payment for delayed plot delivery was compensatory and not "interest" under Section 2(28A) of the Income Tax Act. Consequently, no TDS deduction was required, and the disallowance under Section 40(a)(ia) did not apply. The Court emphasized the compensatory nature of the payment for delay, not constituting interest on borrowed money or debt, in line with the principle of strict construction of taxing statutes favoring the taxpayer. The related appeal for the subsequent assessment year was also dismissed. No costs were awarded. en-us Thu, 09 Aug 2018 00:00:00 +0530 Wed, 01 May 2019 16:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=366378 The Court dismissed the revenue's appeal, affirming the Tribunal's decision that the payment for delayed plot delivery was compensatory and not "interest" under Section 2(28A) of the Income Tax Act. Consequently, no TDS deduction was required, and the disallowance under Section 40(a)(ia) did not apply. The Court emphasized the compensatory nature of the payment for delay, not constituting interest on borrowed money or debt, in line with the principle of strict construction of taxing statutes favoring the taxpayer. The related appeal for the subsequent assessment year was also dismissed. No costs were awarded. Case-Laws Income Tax Thu, 09 Aug 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=366378