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2006 (2) TMI 127 - HC - Income TaxCollections of contingency deposit - amounts collected by the assessee were amounts which were meant to be utilised by the assessee for meeting its tax liability. Even if the assessee paid over the entire amount received by it as deposit towards sales tax to the State Government, it would still have been open to the assessee to seek refund if the assessee wished to claim such refund on the ground that the tax had been levied at a higher rate than the rate permissible. The fact that the assessee had chosen to adopt the device of labelling a part of the amounts collected towards its sales tax liability as "contingency deposit", could not make a difference. The amount formed part of the assessee's income.- Tribunal was not justified in deleting the addition made in respect of collections of contingency deposit
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