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Issues involved:
The judgment involves issues related to addition of income accrued to the assessee, deletion of prior period expenses, disallowance of extra depreciation, and allowance of fringe benefits. Addition of income accrued to the assessee: The Revenue appealed against the deletion of addition of income accrued to the assessee amounting to Rs. 5,10,00,000. The Revenue argued that the assessee had made a provision for this income in its books but did not offer it as income. The assessee contended that the payer, Cochin International Airport Ltd., had not accepted the liability to pay for the use of ATM/CNS facility, therefore no right had accrued to receive the income. The Tribunal upheld the order of the CIT(A) based on legal principles that income accrues only when a right to receive it is established. Deletion of prior period expenses: The Revenue challenged the deletion of prior period expenses amounting to Rs. 9,24,20,455. The Tribunal noted that similar issue was decided in favor of the assessee for a previous year, and the prior period income disclosed by the assessee exceeded the expenses claimed. The Tribunal found no justification to interfere with the CIT(A)'s order and rejected the Revenue's appeal. Disallowance of extra depreciation: The Revenue contested the deletion of disallowance of extra depreciation amounting to Rs. 8,30,391. The Tribunal observed that in previous years, similar issues were remanded back to the Assessing Officer for verification. Considering consistency, the Tribunal set aside the matter for readjudication as per directions from earlier years. Allowance of fringe benefits: The Revenue objected to the allowance of fringe benefits amounting to Rs. 3,16,8,999, arguing that the claim should have been revised in the return. The Tribunal acknowledged the legal position but held that appellate authorities have the power to admit fresh claims. The Additional Commissioner admitted that fringe benefit tax was not attracted on the calibration expenditure, leading to the dismissal of the Revenue's appeal. In conclusion, the Tribunal partly allowed the Revenue's appeal regarding prior period expenses and dismissed the appeal concerning fringe benefits. The decision was pronounced on 16th March, 2012.
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