1986 (5) TMI 56

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.... interest. It is opposed by the assessee. 2. The assessee, an individual, advanced certain loan to M/s. Bilas Singh & Co. and M/s. Ojha Bros. For the assessment year under consideration the assessee showed interest income of Rs. 5,948 in respect of loan given to M/s. Bilas Singh & Co. But from the statement of the loan account of the said concern it appeared that interest of Rs. 43,644 was cred....

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....rs. 1978-79 and 1979-80 found that for these two years the interest income was assessed to tax on the basis of the receipt and not on accrual. So he held that only the amount of Rs. 5,948 actually received by the assessee from M/s. Bilas Singh & Co. should be assessed to tax. In respect of interest on the loan given to M/s. Ojha Bros. the AAC accepted the firm's contention that he is liable to be ....

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....was nothing wrong in the assessee's system of disclosing interest income on receipt basis he relied on the decision in the case of Juggilal Kamlapat Bankers vs. CIT (1982) 29 CTR (Cal) 8 : (1975) 101 ITR 40 (All) and snow White Food Products Co. Ltd vs. CIT W.B. II (1983) 141 ITR 861 (Cal). 4. We have carefully considered the submission of the authorised representative for the parties and exami....