2004 (9) TMI 99

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....e filed by the Revenue against the orders of the Income-tax Appellate Tribunal dated February 10, 2004, and September 19, 2003, made in I. T. A. Nos. 1332/Mds/1997 and 2522/Mds/96, respectively. For the purpose of disposing of the case, we refer to the facts relating to the Tax Case (Appeal) No. 744 of 2004 only. The assessee doing the business of hire purchase transactions and leasing of pl....

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....mmissioner of Appeals following the earlier order in respect of the assessee, confirmed the order of the Assessing Officer. That order was taken on appeal to the Tribunal, which set aside the order of the Commissioner of Income-tax (Appeals) and then directed the Assessing Officer in the light of the decision rendered by the Tribunal in I. T. A. Nos. 280 and 1522/99 dated February 5, 2001, to fram....

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....est amounts in a suspense account and does not bring these amounts to the profit and loss account, goes to show that the assessee is following a mixed system of accounting by which such interest is included in its income only when it is actually received. Looking to the method of accounting so adopted by the assessee in such cases, the circulars which have been issued are consistent with the provi....