Assessee was a shareholder of a company which had declared an interim dividend on 14-3-2002. Assessee received said interim dividend on 23-4-2002. Assessee claimed this interim dividend declared by the company in its return of income filed for assessment year 2002-03. Assessing Officer completed the assessment under section 143(3) and did not include the interim dividend in the assessee’s taxable income. Thereafter, a notice was issued under section 148 to assessee for assessment year 2003-04 stating that though aforesaid company had declared interim dividend on 14-3-2002, since interim dividend was actually received by assessee on 23-4-2002, it was taxable in hands of assessee in relevant assessment year 2003-04 as exemption under section 10(33) had been deleted with effect from 1-4-2003 vide Finance Act, 2002.\u00a0 CIT(A) deleted the addition. Tribunal affirmed the order of the Assessing Officer. On appeal, the Court held that exemption for income occurring from interim dividend under section 10(33) was available to the assessee during assessment year 2002-03 as the right to receive interim dividend had accrued in the hands of the assessee, even though the amount was actually received only on 23-4-2002 during assessment year 2003-04. Order of the Tribunal set aside. (AY. 2003-04)\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 147: Reassessment-Interim dividend income-Mercantile system of accounting-Accrual-Right to receive interim dividend arose on 14-3-2002 in financial year 2001-2002 relevant to assessment year 2002-2003-Reassessment order was quashed-Order of Tribunal affirmed.[S.10(33), 143(3), 148, 260A] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[21],"tags":[],"class_list":["post-65449","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-h1D","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/65449","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=65449"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/65449\/revisions"}],"predecessor-version":[{"id":65450,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/65449\/revisions\/65450"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=65449"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=65449"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=65449"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}