TMI Blog2004 (9) TMI 99X X X X Extracts X X X X X X X X Extracts X X X X ..... ry 10, 2004, and September 19, 2003, made in I. T. A. Nos. 1332/Mds/1997 and 2522/Mds/96, respectively. For the purpose of disposing of the case, we refer to the facts relating to the Tax Case (Appeal) No. 744 of 2004 only. The assessee doing the business of hire purchase transactions and leasing of plant and machinery filed their return of income on November 29, 1994. After hearing the explan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der of the Assessing Officer. That order was taken on appeal to the Tribunal, which set aside the order of the Commissioner of Income-tax (Appeals) and then directed the Assessing Officer in the light of the decision rendered by the Tribunal in I. T. A. Nos. 280 and 1522/99 dated February 5, 2001, to frame the assessment afresh. Hence the appeal. The issue involved in these appeals is covered by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t, goes to show that the assessee is following a mixed system of accounting by which such interest is included in its income only when it is actually received. Looking to the method of accounting so adopted by the assessee in such cases, the circulars which have been issued are consistent with the provisions of section 145 and are meant to ensure that assessees of the kind specified who have to ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ul loan and will be added to the income only when it is actually received" whereby it virtually reversed the stand taken by the Supreme Court in the decision reported in State Bank of Travancore v. CIT [1986] 158 ITR 102. Hence these appeals deserve to be dismissed in view of the judgment reported in UCO Bank v. CIT [1999] 237 ITR 889(SC) and accordingly, these appeals are dismissed. No costs ..... X X X X Extracts X X X X X X X X Extracts X X X X
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