The Chhattisgarh High Court has ruled that individuals whose land is compulsorily acquired by the National Highways Authority of India (NHAI) are exempt from paying income tax on the compensation received.
In a recent case, land acquired for ₹73 lakh was deemed tax-free under specific legal provisions.
The judgment offers relief to landowners facing compulsory acquisition and reinforces the legal framework protecting citizens from unexpected tax burdens on government compensation.
