Sh. Bhim Singh Lather v. Commissioner Of Income Tax, Panchkula

ITA No. 528 of 2005 -1- IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH ITA No. 528 of 2005 Date of Decision: 6.12.2010 Sh. Bhim Singh Lather Versus Commissioner of Income Tax, Panchkula ....Appellant. ...Respondent. CORAM:-HON'BLE MR. JUSTICE ADARSH KUMAR GOEL.HON'BLE MR. JUSTICE AJAY KUMAR MITTAL. PRESENT: Mr. D.K. Goyal, Advocate for the appellant. Mr. Yogesh Putney, Senior Standing Counsel,for the respondent. AJAY KUMAR MITTAL, J. 1.This order shall dispose of ITA Nos. 528 and 529 of 2005as learned counsel for the appellant submitted that similar questions oflaw are involved therein. 2.ITA No. 528 of 2005 was admitted by this Court vide orderdated September 25, 2006 for determination of the following substantialquestion of law:- “Whether under the facts and circumstances of thecase, the enhanced compensation having beenreceived in pursuance of order of the Hon'ble HighCourt after furnishing Security Bond and the right toreceive being inchoate and disputed, can it be taxedin view of the interpretation of provisions of Section 45(5)(a) r.w. Section 45(5)(b) w.e.f. 1.4.1988 andwhether the Tribunal was justified in taxing the saidadditional enhanced compensation as income for theyear of receipt irrespective of the dispute thereof?” 3.We have heard learned counsel for the parties. 4.The point that arises in this appeal is whether the enhancedcompensation is taxable in the hands of the assessee in the year ofreceipt. 5.The similar issue came up for consideration before theHon'ble Apex Court in Commissioner of Income-tax v. Ghanshyam(HUF), [2009] 315 ITR 1 (SC) wherein it had been held that the amountof enhanced compensation received by the assessee would be taxablein the year of receipt in view of insertion of Section 45(5)(b) of the Actirrespective of whether any litigation is pending at the behest of theState in any court of law. 6.In view of the above, the question of law is answeredagainst the assessee. The appeals are dismissed. (AJAY KUMAR MITTAL) JUDGE December 6, 2010gbs (ADARSH KUMAR GOEL)JUDGE ITA No. 528 of 2005 -3- IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH ITA No. 529 of 2005 Date of Decision: 6.12.2010 Sh. Bhim Singh Lather Versus Commissioner of Income Tax, Panchkula ....Appellant. ...Respondent. CORAM:-HON'BLE MR. JUSTICE ADARSH KUMAR GOEL.HON'BLE MR. JUSTICE AJAY KUMAR MITTAL. PRESENT: Mr. D.K. Goyal, Advocate for the appellant. Mr. Yogesh Putney, Advocate for the respondent. AJAY KUMAR MITTAL, J. The appeal is dismissed. For reasons, see the order of even date recorded in ITA No. 528 of 2005 [Sh. Bhim Singh Lather v. Commissioner ofIncome Tax, Panchkula]. (AJAY KUMAR MITTAL) JUDGE December 6, 2010gbs (ADARSH KUMAR GOEL) JUDGE