Hardship allowance - Taxability - Thereof

Facts:

Assessee's co-operative housing society had entered into a development agreement with the builder. As part of the development each one including the assessee would be getting a residence in place of their existing residence. Land and title deeds all were in the name of the co-op housing society. All developmental expenditure etc. would be met by the developer directly. The developer paid a lump sum to the co-operative housing society as part of the corpus refund. Assessee got their share as hardship allowance from the co-op. housing society. This was held taxable as income from other sources by both lower tax authorities. On higher appeal -

Held the hardship allowance was a capital receipt and thus not taxable.

Applied: Lawrence Rebello v. ITO, in ITA No. 132/Ind./2020 vide Order, dated 29-9-2021 : 2021 TaxPub(DT) 5718 (Ind-Trib)

Case: Vinod Murlidhar Chawal v. ITO 2023 TaxPub(DT) 1304 (Mum-Trib)