Dismissing the appeal of the asssessee the Court held that  mesne profit and interest  on mesne profits received under direction of Civil Court for unauthorised occupation of immoveable property by erstwhile tenant were liable to be taxed as revenue receipts.  Court also held that Section 25B of the Income-tax Act, 1961, was introduced in the Act by the Finance Act, 2001, with effect from April 1, 2001. The consequence thereof is to treat mesne profits, and interest thereon received by the assessee in the previous year relevant to the assessment year in question, as income from house property in respect of the previous year, even though the receipt pertains to earlier financial years. Section 25B is clarificatory in nature as it encapsulated the law existing, namely, that the receipts towards mesne profits should be taxed in the year of their receipt. Applied the ratio in CIT v Saurashtra Cement (2001) 192 Taxman 300/325 ITR 422 (SC)  wherein the Court held that  the answer to the question whether a receipt is a capital receipt or a revenue receipt must ultimately depend on the facts of a particular case, and the authorities bearing on the question are valuable only as indicating the matters that have to be taken into account in reaching a conclusion. It is not possible to lay down any single test as infallible, or any single criterion as decisive, in the determination of this question, which must ultimately depend on the facts of the particular case. (AY.1999-2000)