https://www.taxtmi.com/caselaws?id=233778 The High Court dismissed the appeal under Section 260-A of the Income Tax Act, 1961, regarding the treatment of retention money as the assessee's income for the assessment year 1996-97. The Court upheld the Tribunal's decision to set aside the disallowance of retention money by the Assessing Officer, emphasizing that the right to receive retention money accrues only upon fulfilling contract obligations, not constituting income in the year of retention. The judgment clarifies the accrual principle and timing of income recognition, aligning with established judicial interpretations and providing guidance on tax implications for construction businesses. en-us Mon, 06 May 2013 00:00:00 +0530 Wed, 15 May 2013 13:17:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=233778 The High Court dismissed the appeal under Section 260-A of the Income Tax Act, 1961, regarding the treatment of retention money as the assessee's income for the assessment year 1996-97. The Court upheld the Tribunal's decision to set aside the disallowance of retention money by the Assessing Officer, emphasizing that the right to receive retention money accrues only upon fulfilling contract obligations, not constituting income in the year of retention. The judgment clarifies the accrual principle and timing of income recognition, aligning with established judicial interpretations and providing guidance on tax implications for construction businesses. Case-Laws Income Tax Mon, 06 May 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=233778