How to install or replace lion on Mac OS X Leopard simultaneously reinstall time machine backup of  OS X Leopard

Hi, I am new or know nothing about Mac Mini which I received from relative as gift along with few software including lion OS.
I want to install lion after time machine backup of current files Mac OS X 10.6.8.
MY question is that backup of Mac OS X 10.6.8 can be installed or copied on newly installed Lion software.
Thanks in anticipation.
Raj

Only third-party applications and the user's admin folder. Since Lion succeeds Snow Leopard, you cannot restore the system software without first erasing the drive. That means you must have the Snow Leopard installer DVD.
I would simply upgrade the Snow Leopard system with Lion:
How to Install Mavericks, Lion/Mountain Lion Successfully - You must have Snow Leopard 10.6.7 or 10.6.8 Installed
A. Repair the Hard Drive and Permissions:
Boot from your Snow Leopard Installer disc. After the installer loads select your language and click on the Continue button. Then select Disk Utility from the Utilities. After DU loads select your hard drive entry (mfgr.'s ID and drive size) from the the left side list.  In the DU status area you will see an entry for the S.M.A.R.T. status of the hard drive.  If it does not say "Verified" then the hard drive is failing or failed. (SMART status is not reported on external Firewire or USB drives.) If the drive is "Verified" then select your OS X volume from the list on the left (sub-entry below the drive entry,) click on the First Aid tab, then click on the Repair Disk button. If DU reports any errors that have been fixed, then re-run Repair Disk until no errors are reported. If no errors are reported click on the Repair Permissions button. Wait until the operation completes, then quit DU and return to the installer. Now restart normally. 
If DU reports errors it cannot fix, then you will need Disk Warrior (4.3.) if DW cannot fix the drive, then you will need to reformat the drive and reinstall Snow Leopard.
B. Make a Bootable Backup Using Restore Option of Disk Utility:
  1. Open Disk Utility from the Utilities folder.
  2. Select the destination volume from the left side list.
  3. Click on the Restore tab in the DU main window.
  4. Check the box labeled Erase destination.
  5. Select the destination volume from the left side list and drag it to
      the Destination entry field.
  6. Select the source volume from the left side list and drag it to the
      Source entry field.
  7. Double-check you got it right, then click on the Restore button.
Destination means the backup volume. Source means the internal startup volume.
C. Important: Please read before installing:
  1. If you have a FireWire hard drive connected, disconnect it before
      installing the update unless you will boot from this drive and install the
      update on it. Reconnect it and turn it back on after installation is
      complete and you've restarted.
  2. You may experience unexpected results if you have installed third-
      party system software modifications, or if you have modified the
      operating system through other means. (This does not apply to
      normal application software installation.)
  3. The installation process should not be interrupted. If a power outage or
      other interruption occurs during installation, use the standalone
      installer (see below) from Apple Downloads to update.  While the
      installation is in progress do not use the computer.
D. To upgrade to Lion/Mountain Lion, Mavericks:
  1. Purchase the Lion/Mountain Lion Installer from the Mac App Store.
      The download should start quickly. Lion is nearly 4 GBs so a fast
      internet connection is essential. Download time could run upwards of 4
      hours depending upon network conditions and server demands at the
      time. Note that Mavericks is FREE.
  2. The installer will run automatically after the download is completed.
      Click on the Install button to begin the upgrade.
  3. Follow instructions for installation.
Also see:
Upgrading from Snow Leopard to Lion or Mountain Lion
You can upgrade to Mountain Lion from Lion or directly from Snow Leopard. Mountain Lion can be downloaded from the Mac App Store for $19.99.
If you sign into the App Store and try to purchase Mountain Lion but the App Store says your computer is not compatible then you may still be able to upgrade to Lion per the following information.
A. Upgrading to Mountain Lion
To upgrade to Mountain Lion you must have Snow Leopard 10.6.8 or Lion installed. Purchase and download Mountain Lion from the App Store. Sign in using your Apple ID. Mountain Lion is $19.99 plus tax. The file is quite large, over 4 GBs, so allow some time to download. It would be preferable to use Ethernet because it is nearly four times faster than wireless.
     OS X Mountain Lion - System Requirements
       Macs that can be upgraded to OS X Mountain Lion
         1. iMac (Mid 2007 or newer) - Model Identifier 7,1 or later
         2. MacBook (Late 2008 Aluminum, or Early 2009 or newer) - Model Identifier 5,1 or later
         3. MacBook Pro (Mid/Late 2007 or newer) - Model Identifier 3,1 or later
         4. MacBook Air (Late 2008 or newer) - Model Identifier 2,1 or later
         5. Mac mini (Early 2009 or newer) - Model Identifier 3,1 or later
         6. Mac Pro (Early 2008 or newer) - Model Identifier 3,1 or later
         7. Xserve (Early 2009) - Model Identifier 3,1 or later
To find the model identifier open System Profiler in the Utilities folder. It's displayed in the panel on the right.
     Are my applications compatible?
         See App Compatibility Table - RoaringApps.
     For a complete How-To introduction from Apple see Upgrade to OS X Mountain Lion.
B. Upgrading to Lion
If your computer does not meet the requirements to install Mountain Lion, it may still meet the requirements to install Lion.
You can purchase Lion by contacting Customer Service: Contacting Apple for support and service - this includes international calling numbers. The cost is $19.99 (as it was before) plus tax.  It's a download. You will get an email containing a redemption code that you then use at the Mac App Store to download Lion. Save a copy of that installer to your Downloads folder because the installer deletes itself at the end of the installation.
     Lion System Requirements
       1. Mac computer with an Intel Core 2 Duo, Core i3, Core i5, Core i7,
           or Xeon processor
       2. 2GB of memory
       3. OS X v10.6.6 or later (v10.6.8 recommended)
       4. 7GB of available space
       5. Some features require an Apple ID; terms apply.

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