S. 153C : Assessment-Income of any other person–Search-Satisfaction note recorded by the AO of assessee was not by the AO of person in respect of whom search was conducted–Seized document not relevant to assessment year-Notice is void ab initio and vitiates entire assessment proceedings. [S. 132]
S. 153A : Assessment–Search-Real estate business-Suppression of turnover – Future sales on unsold plots on date of search cannot be brought to tax – No incriminating materials found during search- Assessment is not valid.[S. 132]
S. 115JB : Book profit-Computation under clause (f) of explanation 1 to section 115JB is to be made without resorting to computation as contemplated u/s. 14A of the Act- Only those investments are to be considered for computing average value of investment which yielded exempt income during the year- Matter remanded. [S. 10(35),14A, R.8D]
S. 80IA : Industrial undertakings–Infrastructure development- Interest, penal interest and miscellaneous income which cannot be separated from the business activity of developing, maintaining and operating industrial parks/ SEZ units are eligible for deduction
S. 73 : Losses in speculation business -Loss in investment in shares- Not engaged in business of trading in shares -Explanation to S.73 is not applicable -loss is allowable. [S. 45]
S. 68 : Cash credits–Loan -Received by account payee cheque-Repaid by account payee cheque–Established genuineness of the transaction and creditworthiness of the lenders-Additions cannot be made.
S. 54F : Capital gains-Investment in a residential house-two residential units purchased at two different localities. Exemption was restricted to only investment in one residential house property. [S. 45]
S. 54F : Capital gains-Investment in a residential house-Capital gains arising from sale of basement of a building which was used for habitable purposes was within purview of a residential flat-Entitle to exemption.[S. 45, 54]
S. 37(1) : Business expenditure-Expenditure incurred for providing training through Apparel Training and Development center, being in the nature of Corporate Social Responsibility (‘CSR’) expenses is not allowable as a deduction.
S. 37(1) : Business expenditure-Penalty–Fine-Illegal mining- Compensation is not penalty -Allowable as deduction.