Itxa/1275/2012 Of The Commissioner Of Income Tax -2 v. M/S. Cable Corporation Of India Ltd

sbw *1* IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.1275 OF 2012 Commissioner of Income Tax-2 ..Appellant -Versus-M/s. Cable Corporation of India Ltd. ..Respondent ........... Mr. Suresh Kumar for the Appellant. ........... CORAM: S.C. DHARMADHIKARI AND A. A. SAYED, JJ. DATE :- 30[th] OCTOBER, 2014 P.C.: Having heard Mr. Suresh Kumar, learned counsel, appearing on behalf of the Revenue in support of this Appeal, which challenges the order passed by the Tribunal on 24[th] June, 2011 in Income Tax Appeal No.5593/Mum/2002 for the assessment year 1995-96, we are of the opinion that the only question projected as substantial question of law cannot be entertained. 2]The finding of fact in para 29 and 30 is that the income may have accrued but on the basis of such accrual it could not be treated as such and brought to tax. That is because the same must satisfy the criteria of being a real income. The interest income was not accruing on day to day basis. The right to receive the interest accrued to the holder of the debenture only on the respective due dates. In such circumstances, till the due date for payment of interest, the debenture holder did not have right to receive it. The interest did not accrue on 31[st] March, even under the mercantile system of accounting. Merely, because it has been shown as such in the books of accounts, does not mean that it will constitute a real income. The concurrent finding of fact by the Commissioner of Income Tax (Appeals) and the Tribunal, thus, cannot be said to be perverse. The Appeal does not raise any substantial question of law and it is dismissed. No order as to costs. (A. A. SAYED, J.) (S.C. DHARMADHIKARI, J.) wadhwa 2/2