banner_ad

Tax on builder delay penalty via court order

Tax queries 195 views 1 replies

Hello Experts, Need your suggestion. I booked a flat in 2010 which was promised to be delivered in 2013. The builder did not deliver and we got the principal refunded along with 14% interest as compensation via court order in 2017. The Supreme court verdict says "The amount of interest that has been granted should be treated as compensation because of the delay on the part of the builder." Copy attached for reference. Need your inputs to understand whether this compensation falls under Capital Receipts or LTCG or Income from other sources ? Thanks in advance.


Attached File : 2446209 20180610165728 sc order 22001 2015 order 20 sep 2017.pdf downloaded: 85 times
Replies (1)

interest-on-refunds-from-builders-adds-to-tax-burden


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 02 May 2026
Senior Executive

hitesh chandwani & co

Pune

B.Com

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details