https://www.taxtmi.com/caselaws?id=364968 An assessee following the project completion method under a development agreement could not be compelled to adopt the developer's percentage completion method where its accounting treatment was consistently applied and revenue accrued only on execution and registration of sale deeds. The assessee had treated advances as liabilities, and the development terms showed that its right to receive the constructed-area share arose only on completion of construction or expiry of the stipulated period. In the absence of defects in the accounts or any basis to reject the method regularly employed, the additions made by recomputing income on percentage completion were unsustainable. en-us Fri, 03 Aug 2018 00:00:00 +0530 Tue, 07 Aug 2018 15:23:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=364968 An assessee following the project completion method under a development agreement could not be compelled to adopt the developer's percentage completion method where its accounting treatment was consistently applied and revenue accrued only on execution and registration of sale deeds. The assessee had treated advances as liabilities, and the development terms showed that its right to receive the constructed-area share arose only on completion of construction or expiry of the stipulated period. In the absence of defects in the accounts or any basis to reject the method regularly employed, the additions made by recomputing income on percentage completion were unsustainable. Case-Laws Income Tax Fri, 03 Aug 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=364968