1992 (5) TMI 59

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....f the case, the ITAT was correct in law in upholding the decision of the CIT(A) in deleting the addition of Rs. 4,41,385 on account of accrued interest particularly when the assessee maintained accounts on mercantile basis?" 2. Briefly stated the relevant facts are that under an agreement dt. 16th July, 1981 the assessee, a registered firm carrying on its business in food grains, had agreed to su....

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.... 1901 of 1984 against the MARKFED in the High Court of Delhi for recovery of Rs. 53,19,104.66 inclusive of claim for interest of Rs. 13,39,965.80 on account of outstanding bills. The suit is reported to be still pending. 4. For the year under consideration, i.e., the asst. yr. 1986-87 the ITO made an addition of Rs. 4,41,385 to the total income of the assessee on account of interest accrued on th....