https://www.taxtmi.com/caselaws?id=14336 The High Court ruled in favor of the assessee, determining that the amount received from the insurance company for the loss of a boat due to natural causes was indemnity and not subject to capital gains tax under section 45 of the Income-tax Act, 1961. The court emphasized that the insurance payment was for compensation, not a consideration for the transfer of property rights, following the precedent that capital gains tax is triggered by transfer, not the mere extinguishment of rights. The court held that the insurance claim did not constitute capital gains chargeable under the Act. en-us Wed, 13 Dec 2000 00:00:00 +0530 Wed, 15 Jul 2009 12:46:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=14336 The High Court ruled in favor of the assessee, determining that the amount received from the insurance company for the loss of a boat due to natural causes was indemnity and not subject to capital gains tax under section 45 of the Income-tax Act, 1961. The court emphasized that the insurance payment was for compensation, not a consideration for the transfer of property rights, following the precedent that capital gains tax is triggered by transfer, not the mere extinguishment of rights. The court held that the insurance claim did not constitute capital gains chargeable under the Act. Case-Laws Income Tax Wed, 13 Dec 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=14336