S. 68 : Cash credits-Share premium-Valuation report was filed- Assessing Officer failing to examine bank accounts from where investment routed to investigate creditworthiness of creditors, identity of subscribers and genuineness of transaction-Deletion of addition is held to be justified.

S. 43B : Deductions on actual payment-Payment of Employees’ contributions to provident fund beyond period stipulated-Allowable as deduction.

S. 43A : Rate of exchange-Foreign currency-Loss on conversion of outstanding foreign exchange currency into Indian rupees at end of year on account of outstanding unsecured loans-Matter remanded to Assessing Officer to examine facts whether loss was on capital account or revenue account. [S. 254(1)]

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Discount offered to distributors for promotion of sales-Not commission-Not liable to deduct tax at source-No disallowances can be made-Trade discount allowable as business expenditure. [S. 194H]

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Deducting tax at one Per Cent. instead of two per cent-No disallowance can be made.

S. 37(1) : Business expenditure-Telephone and Telex, Vehicle running and maintenance and depreciation on Vehicle-Ad hoc addition of ten per cent-Not sustainable-Expenditure on software matter remanded.

S. 37(1) : Business expenditure-Profits on sale of asset–Prior period expenses-Earned leave paid to employees-Matter remanded to the Assessing Officer. [S. 254(1)]

S. 37(1) : Business expenditure-Capital or revenue- Differential lease premium and processing fees-Fixed asset-Capital expenditure- Depreciation allowable. [S. 32]

S. 37(1) : Business expenditure-Marketing expenses-Mobile handsets issued free of cost to after-Marketing services Centers, annual maintenance and services contractors, dealers and employees-Cost allowable as business expenditure–Trade discount also allowable as business expenditure.

S. 37(1) : Business expenditure-Recruitment of employees-Held to be allowable as deduction.