9911796707
TMI Blog1985 (9) TMI 29X X X X Extracts X X X X X X X X Extracts X X X X ..... instalments as per agreement dated November 5, 1975, was not taxable in the assessment year 1976-77 ? " M/s. Barjatya Family Charitable Trust, the assessee, was carrying on business of cinematograph film distribution during the assessment year 1976-77. The assessee entered into an agreement dated November 5, 1975, whereby it leased out the right of distribution, exhibition and exploitation in respect of various pictures mentioned in the said agreement to M/s. Rajshree Pictures Pvt. Ltd. on the terms and conditions set out in the said agreement. A supplementary agreement was arrived at on November 12, 1975, wherein the assessee disclosed the names of the films in respect of which the right of distribution and exhibition was leased out. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... instalments spread over a period of ten years was merely a facility allowed by the lessor to the lessee for the payment of consideration which had assumed the character of an outstanding debt on March 1, 1976, and the transaction was completed in all respects in pursuance of the terms of the agreement dated November 5, 1975. The said order of the Income-tax Officer was affirmed in appeal by the Commissioner of Income-tax (A), Rajasthan, Jaipur, by order dated January 8, 1980. Thereafter the assessee filed an appeal before the Tribunal which was allowed by the Tribunal by order dated September 29, 1980. The Tribunal has observed that it was not disputed before it that the assessee maintained its accounts on cash system. According to the Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rt. Thereupon, the Revenue has filed this application. We have heard Shri R. N. Surolia, the learned counsel for the Revenue, and Shri Kasliwal, the learned counsel for the assessee. During the course of his submission, Shri Surolia did not dispute that the assessee was following the cash system for maintaining the accounts. In view of the fact that the assessee was following the cash system for maintaining the accounts, which fact has not been disputed by the Revenue, the Tribunal was justified in holding that the assessee was required to disclose only the income which it had received during the relevant year. In the circumstances, we agree with the Tribunal that no question of law arises out of the order of the Tribunal which may call f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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