2008 (6) TMI 343

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....t was delivered by F. I. Rebello J.- Admit on the following questions : "(1) Whether on the facts and in the circumstances of the case and in law, the Tribunal was right in coming to the conclusion that the royalty of Rs. 1.35 crores accrued to the appellant during the year in question. (2) In view of the principles laid down in the decision of this hon'ble High Court in the case of CIT v....

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.... however, indicate that no income has been received by the appellant till date pursuant to the royalty agreement as there is dispute between the parties and arbitration proceedings are being proceeded with. It is pointed out that when the parties have been referred to arbitration pursuant to a suit filed by UPT before this court, seeking relief that no amount was due and payable by them to the ass....

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....y Ltd. [1997] 225 ITR 746 (SC) has laid down the test to assess income in the hands of an assessee. The assessee therein was also following the mercantile system of accounting and had made entries in the books regarding electrical charges for the supply made to the consumers, however, no real income had accrued to the assessee-company. The Tribunal had held that it represented hypothetical income ....