- (1.) The petitioners have approached this Court by way of instant petition under Articles 226/227 of the Constitution of India for a direction to the respondents to refund the tax deducted at source on the amount of the land acquisition compensation which is exempted from deduction under Section 194LA of the Income Tax Act, 1961 (in short "the Act") along with interest on the said amount.
(2.) Put shortly, the facts necessary for disposal of the writ petition are that the land of the father of the petitioners, namely, Darshan Singh situated in village Budha Khera, Hadbast No.1, Tehsil and District Karnal was acquired by the Collector on 2.1.2001 vide notification under Section 4 of the Land Acquisition Act, 1894 (in short "1894 Act") for public purpose, i.e. for development and utilization of land as residential and commercial area for sectors 9 parts 32 and 33, Urban Estate, Karnal. The Land Acquisition Collector assessed the compensation at the rate of Rs.4 lacs per acre for plain land and Rs.3 lacs per acre for low lying area and other benefits, i.e. solatium and additional amount of 12% compensation were also granted. The said award was challenged under Section 18 of the 1894 Act and the references were accepted with costs vide award dated 11.8.2009. They filed execution proceedings as the tax was deducted at source under Section 194A of the Act. Hence, the present writ petition.
(3.) We have heard learned counsel for the parties.;