2018 (11) TMI 1184 - HC - Income Tax

TDS deducted on the amount of compensation payable to a land loser on acquisition of his land - Held that - In view of the judgment in Commissioner of Income Tax versus Ghanshyam (HUF) 2009 (7) TMI 12 - SUPREME COURT no TDS will be deducted on the amount of compensation payable to a land loser on acquisition of his land. Following that dictum, the amount deposited through TDS by respondent No. 3 with respondents No. 1 and 2 is required to be refunded to the petitioners. Accordingly, respondents No. 1 and 2 are directed to refund the deducted TDS amount to the petitioners within eight weeks in view of the TDS Certificates.

Summary

The High Court of Himachal Pradesh ordered the refund of TDS amount to petitioners following a Supreme Court judgment stating that no TDS will be deducted on compensation payable to a land loser on land acquisition. Respondents No. 1 and 2 directed to refund the deducted TDS amount to petitioners within eight weeks.