https://www.taxtmi.com/caselaws?id=782303 ITAT Rajkot allowed the assessee's appeal, holding that duty drawback is taxable on a receipt basis rather than an accrual basis when the assessee consistently follows cash accounting for such receipts. The Tribunal accepted that the assessee's entitlement arose under the applicable Drawback Rules, but found the consistent recognition on cash basis to be a sound and prudent accounting policy causing no revenue loss. Relying on precedent permitting assessment of export duty drawback on receipt basis, the ITAT deleted the addition made for the alleged income difference. en-us Mon, 24 Nov 2025 00:00:00 +0530 Thu, 27 Nov 2025 08:36:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782303 ITAT Rajkot allowed the assessee's appeal, holding that duty drawback is taxable on a receipt basis rather than an accrual basis when the assessee consistently follows cash accounting for such receipts. The Tribunal accepted that the assessee's entitlement arose under the applicable Drawback Rules, but found the consistent recognition on cash basis to be a sound and prudent accounting policy causing no revenue loss. Relying on precedent permitting assessment of export duty drawback on receipt basis, the ITAT deleted the addition made for the alleged income difference. Case-Laws Income Tax Mon, 24 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782303