TaxTMI 
TaxTMI 
2010 (12) TMI 1054
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....venue has come forward with this appeal raising the following substantial question of law: "Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in holding that the Assessing Officer was not justified in detecting the completed contract method for accounting followed by the assessee for his construction business even though the said method ....
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....have disclosed the accrued profit earned even in respect of the on-going projects up to the point of the relevant assessment year. The Assessing Authority by following the decision of this Court in Commissioner of Income-tax vs. N.M. Associates (256 ITR 141 Madras 2002) proceeded to assess the deemed profit arose or accrued to the assessee in the relevant accounting year and pass the order of asse....
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....ew and held that by virtue of Section 5 of the Act, inasmuch as the respondent/assessee was following mercantile system of accounting, it was bound to disclose whatever profit earned or accrued up to the relevant accounting year and on that footing proceeded to pass the order of assessment by following the decision of this Court reported in 256 ITR 141. 7. In this context, when we apply Se....
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....sessing Officer can exercise his jurisdiction and make an assessment as provided under Section 144 of the Act. 8. Keeping the above statutory prescription in mind, when we analyse the conclusion of the Tribunal, as set out in paragraph 18, we find that the respondent/assessee was hitherto following the completed contract method for accounting its income from the construction work and that ....