Assessee returned loss which was allowed by AO. CIT  held that change in accounting policy resulted in declaration of loss from Projects and he directed AO to examine issues and pass de novo assessment in accordance with law. Tribunal held that construction of assets was required to be completed in accordance with time-line given in contracts, i.e., 22 months and 24 months respectively and work undertaken by assessee was convergence of various technological designs and functions for purposes of main battle tank training and construction of simulator was high end technical asset for purposes of training on battle tank and would definitely fall within definition of ‘construction of an asset’ and, thus, Accounting Standard 7 would be applicable to such an activity. Accordingly on facts, there was no fault in shifting of accounting policy by assessee  accordingly the revision order is held to be not valid . (AY. 2008-09)