2009 (7) TMI 34

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.... for the Respondent. JUDGMENT The judgment of the Court was delivered by F. M. IBRAHIM KALIFULLA, J. - The assessee has come forward with this appeal, raising the following substantial questions of law; (1) Whether on the facts and in the circumstances of the case the Tribunal was right in law in holding that the appellant is not entitled to deduction in respect of reversal of income w....

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....706/-. According to the appellant, it entered into Hire Purchase Agreements with two parties, by which, an amount of Rs.15 lakhs as finance charges, totalling a sum of Rs.30 lakhs and further sum of Rs.57,89,706/- by way of additional finance charges were reflected in its return in the year ending 31.03.2003. It is the further case of the appellant that at the instance of the hirers, the Hire Purc....

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.... agreements came to be cancelled were also not placed before the assessing authority. The assessing authority, therefore, held that since the cancellation took place on 30.09.2003 i.e.in the financial year 2003-2004, the effect can be given only in the assessment year 2004-2005. The above conclusion of the assessing authority was confirmed by the Commissioner of Income Tax (Appeals) as well as by ....

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.... of Rs.40.5 lakhs was stated to have been paid as on 31.03.2003. As affirmed by the appellant, the interest for the period ending 31.03.2002 could not be paid inasmuch as the rate of interest was finalised with the finance company only in the financial year 2002-2003 and therefore, the interest payment along with the accrued interest was also made in the year ending 31.03.2003. When we asked the l....