https://www.taxtmi.com/caselaws?id=426218 Interest on motor accident compensation is treated as compensatory in nature, and Section 194A operates as a tax-deduction machinery provision rather than a charging provision. Accordingly, tax deduction at source is not automatic in every case; liability depends on the statutory conditions governing taxability and deduction. For payments made before 1 June 2015, the amount deducted at source is to be paid to claimants, with refund to be sought through a revised return. For payments made after that date, TDS applies only where interest exceeds the per-claimant annual threshold, with claimant-wise computation and Form 15-G relevant to the relief framework. en-us Sat, 06 Aug 2022 00:00:00 +0530 Tue, 23 Aug 2022 11:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=426218 Interest on motor accident compensation is treated as compensatory in nature, and Section 194A operates as a tax-deduction machinery provision rather than a charging provision. Accordingly, tax deduction at source is not automatic in every case; liability depends on the statutory conditions governing taxability and deduction. For payments made before 1 June 2015, the amount deducted at source is to be paid to claimants, with refund to be sought through a revised return. For payments made after that date, TDS applies only where interest exceeds the per-claimant annual threshold, with claimant-wise computation and Form 15-G relevant to the relief framework. Case-Laws Income Tax Sat, 06 Aug 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=426218