TMI Blog2007 (10) TMI 265X X X X Extracts X X X X X X X X Extracts X X X X ..... J. Thakar, learned counsel for the respondents. 2. All these four appeals under Section 260-A of the Income Tax Act, 1961 have been preferred by the revenue against the common order dated 24.8.2005 passed by the Income Tax Appellate Tribunal, Nagpur Bench, Nagpur ("the ITAT" for short) disposing of Income Tax Appeal Nos. 200/Nag/2002, 107/Nag/2003, 108/Nag/2003 and 201/Nag/2002. 3. The respondent in above appeals is the successor of M/s Shriram Builders (hereinafter referred to as 'Assessee') who was the civil contractor and builder. On 4.8.1996 the assessee entered into a development agreement with Bharat Kheta and others for development of business complex on their land situated on Kingsway Civil Lines, Nagpur. As per the said agr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... audit objection in respect of the above amounts. On account of the said objection notice under Section 154 was issued to revise intimation under section 143(1)(a). The assessee objected to the said notice. Consequently, Assessing Officer dropped the proceedings and completed the scrutiny assessment by order dated 29.3.2000 allowing the expenditure as claimed. 5. Thereafter Commissioner of Income-tax on the basis of the said objection issued notice under section 263 for assessment years 1997-98 and 1998-99 proposing to revise the orders passed under Section 143 (3). The assessee objected and claimed that he did not derive any title in the property of Khetas at any point of time and hence the expenditure incurred on vacating tenants coul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... impugned order has held as follows: (I) The assessee was regularly following the mercantile method of accounting and was maintaining consolidated account and not project-wise account; (II) The revenue itself has accepted the position that the accounts were not maintained project-wise even for the accounting year 1994-95; and (III) The expenditure of vacating the tenants as and when incurred was claimed as the revenue expenditure and accepted by the department during the earlier assessment years. (IV) Commissioner of Income-tax has not pointed out as to what was wrong in the method of accounting followed by the assessee. It would not be equitable to permit the revenue to take different stand than what was taken by it in the earlier y ..... X X X X Extracts X X X X X X X X Extracts X X X X
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