TaxTMI 
TaxTMI 
2021 (6) TMI 145
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....nd acquisition officer. Aggrieved by the quantum awarded to him, the petitioner sought reference and enhancement of the compensation. The proceedings went on for number of years and ultimately only on 31.12.2006, the petitioner was disbursed with the compensation amount. It comprised not only enhanced compensation, but also solatium and interest. The authority, who had disbursed the compensation deducted a sum of Rs. 5,94,000/- at source and handed over the balance amount to the petitioner herein. Thereafter, the petitioner filed his returns for the assessment year 2007-2008 and in the said return, the petitioner indicated that only a sum of Rs. 1,52,539/- was received by him towards interest component. The main contention of the petition....
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....in the year 2002, the assessee filed execution petitions before Subordinate Judge, Virudhunagar only in the year 2004, the acquisition authority filed calculation memo only in the year 2007 and the assessee also received the amunt within the financial year ending 31.03.2007. 5.1. The interest income which was neither received nor accrued in the relevant previous years cannot be assessed in the respective assessment years, as contended by the assessee. Further, though in this case, interest can also be taxed on due basis from AY 2003-2004 onwards, as contended by the assessee, there is nothing on record to show that the assessee had already admitted interest income on due basis in the respective earlier Assessment years viz AY 2003-04 to 2....
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....e, no notice has been received from the respondent and the petitioner's income for the earlier years had not been assessed to tax. Therefore, according to him, the respondents committed illegality by retaining a sum of Rs. 3,49,000/- that was deducted from the compensation amount by way of TDS. 4.I have to necessarily sustain the contention of the petitioner's counsel that even though a sum of Rs. 45,00,000/- was received as interest in the year 2006 for the assessment year 2007-2008, still it cannot be taxed as a single receipt and that the said amount should be spread over from the year of acquisition. I called upon the counsel on either side to file a memo of calculation to demonstrate if by such spreading over, whether the peti....