UNION OF INDIA Vs. M/S. INFOPARK KERALA

JUDGEMENT

(1.) The controversy raised in the present appeals is as to whether the payment of compensation on agreed terms in respect of the land acquired would be entitled for exemption under Section 10 (37) of the Income Tax Act, 1961 or not.

(2.) This Court in the case of Balakrishnan v. Union of India & Ors. 2017 (2) Scale 1 has held that even if the amount of compensation is paid on agreed terms it would not change the character of the acquisition from that of compulsory acquisition to the voluntary sale and the exemption provided under the Income Tax Act would be available and such negotiations would be confined to the quantum of compensation only.

(3.) In view of the aforesaid discussion, we see no ground to interfere with the impugned order passed by the High Court.