https://www.taxtmi.com/caselaws?id=448595 ITAT Mumbai held that mobilization advance received from Ministry of Surface Transport constituted capital receipt, not taxable income. The advance was loan-like in nature, bearing 10% interest and secured by 110% bank guarantee. Since TDS was deducted on this capital receipt and assessee offered income on gross basis with advance recovered against subsequent billed revenue, the assessee was entitled to TDS credit. CIT(A)'s denial was incorrect as advance did not reduce taxable income. Following precedent in Patel Engineering, appeal allowed granting TDS credit. en-us Mon, 20 Nov 2023 00:00:00 +0530 Tue, 23 Jan 2024 17:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=448595 ITAT Mumbai held that mobilization advance received from Ministry of Surface Transport constituted capital receipt, not taxable income. The advance was loan-like in nature, bearing 10% interest and secured by 110% bank guarantee. Since TDS was deducted on this capital receipt and assessee offered income on gross basis with advance recovered against subsequent billed revenue, the assessee was entitled to TDS credit. CIT(A)'s denial was incorrect as advance did not reduce taxable income. Following precedent in Patel Engineering, appeal allowed granting TDS credit. Case-Laws Income Tax Mon, 20 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=448595