https://www.taxtmi.com/caselaws?id=424701 Compensation received for compulsory acquisition of land was treated as exempt from income-tax where the acquisition fell within the RFCTLARR Act and the payment was covered by section 96 as extended by CBDT Circular No. 36/2016. The analysis treated Schedule 1 as including additional compensation and solatium within the compensation package, and also applied the exemption to interest and related receipts. It was noted that tax authorities are bound by CBDT circulars. Accordingly, the compensation, including solatium and interest, was held not taxable and the addition made by the Assessing Officer was not sustained. en-us Mon, 30 May 2022 00:00:00 +0530 Thu, 07 Jul 2022 09:04:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=424701 Compensation received for compulsory acquisition of land was treated as exempt from income-tax where the acquisition fell within the RFCTLARR Act and the payment was covered by section 96 as extended by CBDT Circular No. 36/2016. The analysis treated Schedule 1 as including additional compensation and solatium within the compensation package, and also applied the exemption to interest and related receipts. It was noted that tax authorities are bound by CBDT circulars. Accordingly, the compensation, including solatium and interest, was held not taxable and the addition made by the Assessing Officer was not sustained. Case-Laws Income Tax Mon, 30 May 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=424701