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2012 (9) TMI 922 - HC - Income TaxAddition being accrued interest on advances - ITAT deleted the addition - Held that:- The Tribunal endorsed the finding of the CIT (Appeals) relying upon its decision for the assessment year 2004-2005. The Tribunal’s finding would show that it had also relied upon the decision of the Supreme Court in Fuerst Day Lawson ltd. Vs. Jindal Exports Ltd., (2001 (5) TMI 881 - SUPREME COURT OF INDIA). This Court also noticed that having regard to the terms of the repealed Arbitration Act, 1940, an award could not be enforceable. The same was the case with the foreign award; the Court had to first adjudicate as to the enforceability. In these circumstances, the assessee’s right to interest was a mere claim, till the date of the judgment of the Court dated 4th December, 2006. In other words, the right to interest crystallized after the judgment of the Court. Till then, it was inchoate. For this reason, the Tribunal’s finding cannot be faulted with. Decided against revenue.
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