2007 (2) TMI 190 - HC - Income Tax

Summary

Issues Involved:
The appeal by the Department against the judgment of the Income-tax Appellate Tribunal for the assessment years 1984-85 to 1991-92 regarding the taxability of interest accrued and paid to the assessee on additional compensation.

Details of the Judgment:

Assessment Proceedings:
The notice u/s 148 was issued to the assessee in 1995, and after reassessment, the accrued interest on additional compensation was brought to tax. The Commissioner of Income-tax partly allowed the appeals and deleted the inclusion of this amount in the assessment years.

Appeal Before Tribunal:
The Assistant Commissioner filed appeals before the Income-tax Appellate Tribunal challenging the Commissioner's decision. The Tribunal held that the grant of additional compensation and interest was sub judice in the High Court and confirmed the order of the Commissioner for all the years.

High Court Decision:
The High Court observed that the question of law raised for determination had already been concluded by the finding of fact. It was noted that the additional compensation and interest were still sub judice in the High Court. Therefore, the appeal was deemed devoid of merit and dismissed, upholding the Tribunal's order. No costs were awarded in this matter.