Rent compensation in redevelopment

Ritesh Bhat (Marketing) (142 Points)

16 November 2023  

Respected members.

Is the rent compensation received from a builder towards alternate accommodation in a co-operative society redevelopment project, taxable? After vacating the building as the project starts builder generally gives some rent compensation until OC is received. That fund I am talking about.

I read that someone challenged the notice received by IT and court confirmed that it is not taxable, but I request experts to comment. Thanks and regards.