https://www.taxtmi.com/caselaws?id=292725 Amounts realised from rent collections during a mortgage transaction were taxable in the mortgagee's hands because they were received not as owner or usufructuary mortgagee, but in reduction of the secured debt; the Rs. 42,000 therefore lost any agricultural income character and was not exempt. The Court also held that the profit from the mortgage transaction, apart from the earlier receipt of Rs. 84,700, accrued only when the transaction was finally closed and title litigation ended, so it was assessable in the year of account. Both issues were decided against the assessee and the assessment was upheld. en-us Wed, 25 Sep 1940 00:00:00 +0530 Wed, 06 Jan 2021 10:39:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=292725 Amounts realised from rent collections during a mortgage transaction were taxable in the mortgagee's hands because they were received not as owner or usufructuary mortgagee, but in reduction of the secured debt; the Rs. 42,000 therefore lost any agricultural income character and was not exempt. The Court also held that the profit from the mortgage transaction, apart from the earlier receipt of Rs. 84,700, accrued only when the transaction was finally closed and title litigation ended, so it was assessable in the year of account. Both issues were decided against the assessee and the assessment was upheld. Case-Laws Income Tax Wed, 25 Sep 1940 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=292725