TMI Blog2014 (10) TMI 663X X X X Extracts X X X X X X X X Extracts X X X X ..... a corresponding obligation on the part of the other party, to pay it - though an assessee may claim a particular amount as of right, it cannot be treated as his income, unless the corresponding obligation is either accepted by, or fastened upon, the other party; in accordance with law - assessee was no doubt entitled to receive 10% of the consideration for the goods supplied by it - the corresponding obligation of the recipient of the goods would have arisen only when a certificate, to the effect that the quality conform to the specifications - That event did not take place, by the time the order of assessment was passed – the order of the Tribunal is upheld – Decided against revenue. - I.T.T.A. No. 49 of 2003 - - - Dated:- 2-9-2014 - L. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e rise to the filing of the appeal, are not in dispute. The entire controversy turns around the question as to whether the respondent has acquired the right to receive the balance of 10% of the consideration for the conductor supplied to its customer. The plea of the appellant is that the amount of 10% is nothing but part of the consideration so much so, the sales tax was also paid for the entire consideration and, in that view of the matter, it cannot be said that the amount representing 10% is not liable to be taxed at this stage. The respondent, on the other hand, pleaded that it is only when the final certification is given as to the goods, that amount becomes payable, and till then, it cannot be said that a right has accrued to rece ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... principle to the facts of the present case, it emerges that the respondent was no doubt entitled to receive 10% of the consideration for the goods supplied by it. However, the corresponding obligation of the recipient of the goods would have arisen only when a certificate, to the effect that the quality conform to the specifications. That event, admittedly did not take place, by the time the order of assessment was passed. We agree with the finding recorded by the Tribunal and we do not find any basis to interfere with the order passed by the Tribunal. The Appeal is accordingly dismissed. There shall be no order as to costs. Miscellaneous Petitions, if any pending in this appeal shall also stand disposed of. - - TaxTMI - TMITax - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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