Held that compensation from suppliers as liquidated damages is capital receipts hence not to be reduced from the cost of fixed assets. It is capital receipt. (AY.2010-11, 2011-12)
ITC Ltd v. ACIT (2024) 230 TTJ 921 / 38 NYPTTJ 626 (Kol)(Trib)
S. 43(6) : Written down value-Liquidated damages-Compensation from suppliers-Capital receipts-Block of assets-Depreciation-Not to be reduced from the cost of fixed assets.[S.2(11), 4, 32]
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