https://www.taxtmi.com/caselaws?id=19687 The court held that a capital receipt, not assessable as a capital gain, cannot be assessed as non-recurring and casual income under section 10(3) of the Income-tax Act, 1961. The Commissioner's notice under section 263 proposing to cancel the assessment based on excluding the compensation sum was quashed. The court emphasized that the sum in question could not be taxed as casual and non-recurring income if not taxable as capital gains under section 45. Despite the general rule against intervening at the notice stage under section 263, the court found no adequate alternative remedy for the petitioner and granted relief by quashing the notice and any subsequent orders. en-us Thu, 05 Aug 1993 00:00:00 +0530 Mon, 09 Nov 2009 10:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19687 The court held that a capital receipt, not assessable as a capital gain, cannot be assessed as non-recurring and casual income under section 10(3) of the Income-tax Act, 1961. The Commissioner's notice under section 263 proposing to cancel the assessment based on excluding the compensation sum was quashed. The court emphasized that the sum in question could not be taxed as casual and non-recurring income if not taxable as capital gains under section 45. Despite the general rule against intervening at the notice stage under section 263, the court found no adequate alternative remedy for the petitioner and granted relief by quashing the notice and any subsequent orders. Case-Laws Income Tax Thu, 05 Aug 1993 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19687