Amount received from opponent in property disputes through court/mediation settlement is taxable?

Take money in cash don't mention amount submit joint memo as suit is settled out and to dismiss petition.

Generally, capital gain will attract as sale of immovable property. If you settle the matter offline with cash dealings, which is illegal and not recommendable. In case any rides, you have to face legal consiquences for the black money.

You may have to execute a registered sale deed after receiving the sale consideration amount.

By that you may have to pay the long term capitals gains tax.

You cannot accept cash for more than Rs. 20000 hence you better oibtain a DD for the entire  amount 

The facts posted are incomplete, disjointed and lack clarity. If the other party is the tenant, How there could be a settlement involving conveyance of property?