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TMI Blog2014 (1) TMI 859X X X X Extracts X X X X X X X X Extracts X X X X ..... t additions made in the years under appeal by way of an estimated profit on work in progress were unwarranted – there was no infirmity in the order of CIT(A) because in case the additions made by AO in the years is confirmed, it will amount to double taxation in the hands of assessee-company – Decided against Revenue. - IT(SS)A Nos. 567-569/Ahd/2010, C.O. Nos. 238-240/Ahd/2010 - - - Dated:- 20-6-2013 - Shri D. K. Tyagi And Shri T. R. Meena,JJ. For the Petitioner : Sri T. Sankar, Sr. D. R. For the Respondent : Sri Vijay Ranjan, A.R. ORDER Per Bench:- These are the revenue's appeals and COs by the assessee against the common order of Ld. CIT(A)-I dated 29-014-2010. 2. Since these appeals belong to the same assessee and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reliance on revised amounting starndard-7 issued by the ICAI and adopting percentage completion method was not justifiable in case of it as AS-7 applies in construction contract and not in the case of builders. It was further submitted that in construction contract contractor carried out the construction work on behalf of the other persons whereas builders build their own immovable property for sale hence there was difference between the two categories and revised AS-7 cannot be applied in case of the assessee. It was further submitted by the assessee that revised accounting standard-9 issued by ICAI applies, wherein it has been clearly stated that revenue has to be recognized with the concept of accrual of income and income accrues in res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g total income of Rs. 94,54,150/- for A.Y. 2008-09 and Rs. 5,65,010/- for A.Y. 2009-10 was filed by the assessee and necessary taxes have already been paid. Hence assessing officer's stand in estimating profit for A.Y. 2005-06 to 2007-08 would amount to double taxation in the hands of the assessee. After taking into consideration the above submission of the assessee Ld. CIT(A) allowed the appeal of the assessee by observing as under:- "5. I have carefully considered the assessment order and submissions made on behalf of appellant. It is a fact that appellant is a builder engaged in construction and sale of immoveable property and not carrying out construction contract on behalf of others and hence, revised AS-7 issued by ICAI as well as d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... carrying out construction contract on behalf of others has not been disputed by the revenue. Therefore the Ld. CIT(A) has rightly held that revised accounting standard AS-7 issued by ICAI is not applicable to the facts of the assessee-company and the decision of Tirathram Ahuja Pvt Ltd relied by the AO for making the addition in assessee's hands is also not applicable. We further find that Ld. CIT(A) has given relief to the assessee as he found that assessee has shown the income in the years in which sales deeds were executed by him i.e. in A.Y. 2008-09 and 2009-10 by holding that additions made in the years under appeal by way of an estimated profit on work in progress were therefore unwarranted. We find no infirmity in the order of Ld. C ..... X X X X Extracts X X X X X X X X Extracts X X X X
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