Income tax returns can be assessed for compensation claims based on the relevant financial year, regardless of filing dates.

JUDGMENT

AHSANUDDIN AMANULLAH, J.

Leave granted.

2. This appeal arises from the Final Judgment and Order dated 20.09.2018 (hereinafter referred to as the ‘Impugned Order’) [2018:DHC:6122 | 2018 SCC OnLine Del 11494] in MAC. APP. No.589 of 2018 rendered by a learned Single Judge of the High Court of Delhi (hereinafter referred to as the ‘High Court’) filed by Respondent No.1-Insurance Company, whereby the High Court disposed of the appeal by reducing the compensation payable to the Appellants from Rs.31,41,000/- (Rupees Thirty-One Lakhs Forty-One Thousand) to Rs.16,97,370/- (Rupees Sixteen Lakhs Ninety-Seven Thousand Three Hundred and Seventy) maintaining the interest awarded at the rate of 9% per annum.

FACTS IN BRIEF:

3. On 12.08.2008, a Blue Line bus bearing Registration No.DL- 1PB-0035, being driven by one Javed Aftar in an allegedly negligent manner, hit a motorcycle bearing Registration No.DL-6SX-6483, which was being driven by Kapil Bhargava (hereinafter referred to as the ‘deceased’) along with his wife (Appellant No.1), as a result of which the deceased died in hospital and Appellant No.1 survived, but suffered grievous injuries.

4. The Appellants and other legal heirs of the deceased filed a Claim Petition viz. MACT No.357515/2016 under Section 166 read with Section 140 of the Motor Vehicles Act, 1988 (hereinafter referred to as the ‘Act’) before the Court of the learned Judge, MACT-1 (Central), Delhi (hereinafter referred to as the ‘Tribunal’), claiming compensation for the death of the deceased for Rs.40,00,000/- (Rupees Forty Lakhs). After hearing the parties, on 20.03.2018, the Tribunal by a common judgment awarded a compensation of Rs.31,41,000/- (Rupees Thirty-One Lakhs Forty-One Thousand) with interest at the rate of 9% per annum from the date of filing of the Claim Petition, i.e., 27.09.2008 till realization in MACT No.357515/2016.

5. The Appellants, being aggrieved by the Award/Order dated 20.03.2018 in MACT No.357515/2016 preferred an appeal, namely, MAC. APP. No.796/2018 before the High Court for enhancement of the compensation awarded by the Tribunal. Respondent No.1, also aggrieved by the Award/Order dated 20.03.2018, preferred MAC. APP. Nos.589/2018 and 592/2018 before the High Court against, apropos MACT No.357515/2016 and MACT No.357259/2016, respectively.

6. The High Court disposed all the three MAC. APP. petitions by the common Impugned Order and held that the Income Tax Returns for the Assessment Year 2008-2009 were filed after the date of the accident, therefore, the income of the deceased had to be assessed on the basis of Assessment Year 2007-2008. While changing some of the heads of compensation granted by the Tribunal, the High Court reduced the compensation payable to the Appellants from Rs.31,41,000/- (Rupees Thirty-One Lakhs Forty-One Thousand) to Rs. 16,97,370/- (Rupees Sixteen Lakhs Ninety-Seven Thousand Three Hundred and Seventy). The High Court also modified the compensation under various heads from Rs.4,30,000/- (Rupees Four Lakhs Thirty Thousand) to Rs.3,94,543/- (Rupees Three Lakhs Ninety- Four Thousand Five Hundred Forty-Three) insofar as MACT No.357259/2016 was concerned.

7. The Appellants have filed the instant appeal challenging the Order of High Court only qua MAC. APP. No.589/2018.

8. It would be useful to set out the computation as per the Tribunal’s Award and the Impugned Order:

APPELLANTS’ SUBMISSIONS:

9. The learned counsel for the Appellants submi