https://www.taxtmi.com/caselaws?id=796574 A consistently employed Project Completion Method cannot be rejected unless statutory conditions are met and true profits cannot be deduced; income and conversion gains must therefore be recognised consistently with that method rather than by sale-agreement dates. Capital gains on conversion of a capital asset into stock-in-trade arise when the converted stock is sold or otherwise transferred. Interest capitalised to project work-in-progress cannot be disallowed on an unsupported estimate where no non-business use or fund diversion is established. Capitalised interest and common-asset costs form part of indexed cost, section 45(2) applies uniformly to the converted asset, and tax deducted at source credit requires verification rather than denial on an assumed timing mismatch. en-us Thu, 22 Jan 2026 00:00:00 +0530 Fri, 07 Aug 2026 09:07:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=796574 A consistently employed Project Completion Method cannot be rejected unless statutory conditions are met and true profits cannot be deduced; income and conversion gains must therefore be recognised consistently with that method rather than by sale-agreement dates. Capital gains on conversion of a capital asset into stock-in-trade arise when the converted stock is sold or otherwise transferred. Interest capitalised to project work-in-progress cannot be disallowed on an unsupported estimate where no non-business use or fund diversion is established. Capitalised interest and common-asset costs form part of indexed cost, section 45(2) applies uniformly to the converted asset, and tax deducted at source credit requires verification rather than denial on an assumed timing mismatch. Case-Laws Income Tax Thu, 22 Jan 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=796574