ARVIND SUD vs UNION OF INDIA .

The Supreme Court addressed the issue of tax liability concerning lottery prizes, specifically whether interest under Sections 234A, 234B, and 234C of the Income Tax Act was chargeable from the year 1993 or from a later date. The Court held that interest was to be charged on a receipt basis, confirming that the tax liability arose when the prize was received on 8.11.1994, not at the time of declaration on 12.11.1993. The appeal was dismissed, allowing the appellant to seek redress under Section 154 of the Income Tax Act for any calculation errors.