2019 (11) TMI 1080

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.... "Whether on the facts and in circumstances of the case and in law, the Tribunal was justified in holding that a sum of Rs. 20 crore is not taxable in the subject assessment year?"   3. The Respondent- Assessee is engaged in the business of Promoter & Developer. It had sold land to M/s. Symboisis which transaction took place in the previous year relevant to the subject assessment year. The land was sold under the Memo of Understanding (MOU) dated 2 February 2012 for a total consideration of Rs. 120 crore. However, the Respondent- Assessee offered only a sum of Rs. 100 crore for tax in the return for the assessment year 2012-13. This as the MOU provided that a sum of Rs. 20 crore would be paid by the purchaser (M/s.Symboisis) on ex....

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....rders of the Assessing Officer and the CIT(A) to submit that the appeal should be admitted. 7. We note that the finding of fact arrived at by the Tribunal that the Respondent was not able to comply its obligations under the MOU in the previous year relevant to the subject assessment year so as to be entitled to receive Rs. 20 crore is not shown to be perverse. In fact, the issue is covered by the decision of the Apex Court in the case of CIT v. Shoorji Vallabdas & Co. (1962) 46 ITR 144 (SC) wherein it is held that "Income tax is a levy on income. No doubt, the Income-tax Act takes into account two points of time at which the liability to tax is attracted, viz., the accrual of the income or its receipt; but the substance of the matter is ....