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(Guest)

Income tax applicability of tax on court decree recovery amount after log time

I invested Rs 2.10 lacs in 1995 in a firm which turned out to be bad deal besides chaeting FIR . A civil recovery suit was filed and after long legal battle , in 2017 i.e. after 22 years a out of court settlement was done for Rs 5 lacs.This receipt is recorded in case closure order of trial court. Mean while I spent almost 1 lac rs on litigation expenses in several cases high court appeals etc upto high court ,travel and other expenses. Forget interest recovery for the period Ofcourse I can deduct original amount form 5 lacs and show as icome this current FY. But i lost 1 lac in expenses and also interest on investment for 22 years and even indexing /inflation cost How this amount should be terated to minimise tax in this year income.Have I to pay any tax at all?


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