Concessional penalty for search-disclosed unreconciled jewellery applies where substantive disclosure conditions are met despite omission from origina...
The assessee followed the project completion method for income recognition since inception. The transitional provisions stipulate that for projects commenced before March 31, 2016, but not completed by that date, revenue recognition shall be based on the method regularly followed prior to April 1, 2016. The Assessing Officer's application of the percentage completion method based on ICDS III by partially interpreting it was unjustified. The addition made by the Assessing Officer for the year under consideration by applying the percentage completion method was not justified and was set aside. The assessee's appeal was allowed.
The assessee followed the project completion method for income recognition since inception. The transitional provisions stipulate that for projects commenced before March 31, 2016, but not completed by that date, revenue recognition shall be based on the method regularly followed prior to April 1, 2016. The Assessing Officer's application of the percentage completion method based on ICDS III by partially interpreting it was unjustified. The addition made by the Assessing Officer for the year under consideration by applying the percentage completion method was not justified and was set aside. The assessee's appeal was allowed.
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