2016 (12) TMI 1842

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....For the Respondent : Mr. R.P. Garg and Kr. K.N. Ahuja, Advs. ORDER 1. The ground urged by the revenue in this appeal under Section 260-A of the Income Tax Act relates to the interest on the mobilization amount claimed by the assessee. It is contended that recognition of revenue by the assessee was improper and having regard to the hybrid method of accounting adopted over the years, the inter....

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....ot crystallized having regard to the contentious nature of the matter even though the assessee had adopted hybrid method of accounting. The relevant findings of the ITAT are as follows: "We have perused the relevant pages of the paper book and are convinced that as the amount has not been crystallized the same cannot be treated as income in the hands of the assessee. The assessee being a ....

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....t was submitted that arbitrability of the dispute was questioned as there could be no doubt that under the contract, the mobilization advance was given by the assessee and therefore it was entitled to the interest. 4. It is evident from the above discussion that the entire matter is contentious in the sense that the third party - RPCL - which was awarded the contract claimed that it had perform....