https://www.taxtmi.com/caselaws?id=433471 Interest awarded under section 28 of the Land Acquisition Act, 1894 is treated as an accretion to enhanced compensation, not as separate interest income. Where the acquired agricultural land is exempt under section 10(37) of the Income-tax Act, the section 28 amount does not assume the character of taxable income from other sources under section 56(2)(viii). The amount, if taxable at all, is chargeable on receipt basis and not by spreading it over the years of accrual or apportionment. The distinction from section 34 interest is material because section 34 compensates for delay, while section 28 is linked to the enhanced value of the land. en-us Wed, 25 Jan 2023 00:00:00 +0530 Tue, 31 Jan 2023 08:39:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=433471 Interest awarded under section 28 of the Land Acquisition Act, 1894 is treated as an accretion to enhanced compensation, not as separate interest income. Where the acquired agricultural land is exempt under section 10(37) of the Income-tax Act, the section 28 amount does not assume the character of taxable income from other sources under section 56(2)(viii). The amount, if taxable at all, is chargeable on receipt basis and not by spreading it over the years of accrual or apportionment. The distinction from section 34 interest is material because section 34 compensates for delay, while section 28 is linked to the enhanced value of the land. Case-Laws Income Tax Wed, 25 Jan 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=433471