9911796707
TMI Blog1983 (4) TMI 37X X X X Extracts X X X X X X X X Extracts X X X X ..... ference is, whether, on the facts and in the circumstances of the case, the interest awarded by the Land Acquisition Officer under s. 34 of the Land Acquisition Act is liable to be assessed for the assessment year 1970-71. This reference concerns 11 respondents and since identical questions arise, the Commissioner of Income-tax required the Appellate Tribunal to draw up a statement of the case, wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t was assessable in the assessment year 1970-71, whereas the assessee's case was that the interest due on compensation awarded accrued from year to year from the date on which the possession of the land was taken over by the Government and was taxable in the relevant assessment years. The assessees were successful on appeal before the AAC. The further appeals filed by the Department resulted in di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the award is finally passed by the Land Acquisition Officer and, therefore, it should be assessed in the relevant year after the said accrual. We are afraid, such cannot be the result of the interest that accrues under s. 34 of the Land Acquisition Act. No decision supporting the proposition evolved by the Revenue has been brought to our notice. We are, however, of the undoubted view that the int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the enhanced amount is determined, the corresponding interest also is awarded simultaneously. Hence, the Revenue cannot take that as an analogy, so as to equate it with the interest that accrues under s. 34 of the Land Acquisition Act. In view of the above, the interest that is awarded along with the compensation will have to be assessed from year to year right from the date on which the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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