In the present case, the assessee was asked to bring to tax such amounts as income for the two years in question, inasmuch as, according to the Assessing Officer, it had treated the whole amount as income, 3 of which is number disputed to be income before us for the years in question.
The Commissioner of Income Tax Appeals dismissed the appeal from the original assessment orders and companyfirmed the same.
The Assessing Officer treated these amounts as income inasmuch as under the accounting system followed by the assessee, these amounts were credited to the profit and loss account for the years in question as income.
The Income Tax Appellate Tribunal, on the other hand, allowed the appeals by relying upon the judgment of this Court in Peerless General Finance and Investment Co. Limited and Another vs. Reserve Bank of India, 1992 2 SCC 343 in which, according to the Appellate Tribunal, this Court finally decided the question in the assessees own case stating that such amounts cannot be treated to be income but are in the nature of capital receipts.
This is an admitted position before us.
So doing, the appeal against the Commissioner of Income Tax was allowed by the Income Tax Appellate Tribunal.
