COMMISSIONER OF INCOME TAX Vs. MEERA CHATTERJEE

JUDGEMENT

(1.) By order dated 13th April, 2004, the following substantial question of law was framed:

(2.) The present appeal under section 260A of the Income Tax Act, 1961 (the Act, for short) relates to assessment year 1993-94 and the respondent is an individual. She had received Rs.1 crore on account of surrender of tenancy rights in property No. 15, Motilal Nehru Marg from M/s Bennet Coleman and Company Limited. The said amount was claimed as a capital receipt but not taxable in view of the judgment of the Delhi High Court in Bawa Shiv Charan Singh versus CIT, 1984 149 ITR 29.

(3.) The Assessing Officer treated Rs.1 crore as income taxable under Section 10(3) following the decision of Allahabad High Court in CIT versus Gulab Chand, 1991 192 ITR 495 for the following reasons:-