2012 (8) TMI 1138

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....R O R D E R Per B.R.BASKARAN, Accountant Member: The appeal of the assessee is directed against the order dated 20-08-2010 passed by the Ld. CIT(A)-I, Kochi and it relates to the assessment year 2007-08. 2. The only issue urged in this appeal is whether the Ld. CIT(A) is justified in confirming that the freezer deposit received from various dealers should be assessed as income of the a....

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....nsidered as income of the assessee, the Tribunal has observed as under. "The assessee received Deposit for the supply of freezer from the concerned vendors. The freezers are required to safe keep the edible ice-creams. They are required for the purpose of business. The small vendors may not be inclined to purchase the freezers as they are not affordable to them considering their status. T....

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....itted this amount as income in the books. Only accrued income arose to the assessee during the relevant previous year also can be brought to tax under the Income-tax provisions which is a settled law. In other words, there must be a debt owned to the assessee and until this is created in favour of the assessee as a debt due to the assessee, it cannot be said as income accrued. Hence, the decision ....

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....ndustan Housing and Land Development Trust Ltd. - 161 ITR 524 (SC); (g) Ace Builders Pvt. Ltd. vs. CIT - 225 ITR 746 (SC); (h) Mantra Tanta Yantra Vigyan vs. CIT - 300 ITR 140 (Raj.); and (i) Guardian Industries Corpn. vs. Assistant Director of Income-tax - 7 DTR 594 (Del.). are also supports the plea of the assessee. The accrual has been dealt with in the relie....