S. 145A : Method of accounting – Valuation of stock- Excise duty- Not added to purchases, sales or valuation of inventories – Valuation of closing stock, excise duty had rightly been excluded from value of closing stock of finished goods at end of accounting period.
S. 68 : Cash credits-Books of account-Sale of shares-long term capital gains–Bank statement is not books of account-Addition cannot be made without giving an opportunity of cross examination–Addition is deleted. [S. 2(12A), 44AA]
S. 37(1) : Business expenditure–Construction business- Accounting Standard-2- Justified in debiting all expenses to work-in-progress except expenses related to administration, selling, marketing, etc. [S. 145]
S. 37(1) : Business expenditure-Asset management company– Date of approval given by SEBI was to be regarded as date on which assessee set up its business and was ready to commence said business- Expenses incurred for purpose of business after said date of approval were eligible for deduction. [S. 3, Regulation 21 of the SEBI (Mutual Fund) Regulations, 1996]
S. 12AA : Procedure for registration–Trust or institution- Possibility of misuse of donations-Approval u/s 80G cannot be denied. [S. 80G ]
Precedent—Appeal–Merger–Dismissal of appeal on ground of low tax effect-High Court order does not merge in order of Supreme Court.
S. 245D : Settlement Commission–Full and true disclosure-Surrender of income in the course of search- Retraction after two years- Application for settlement showing undisclosed income much lower figure–Report of revenue was not considered- Settlement Commission determining the income higher than the disclosed income–Order of Settlement Commission was quashed. [S. 132(4), 245C, 245D(4)]
S. 245D : Settlement Commission–Restoration of matter to Settlement Commission by High Court-Computation of period of 18 months-Period taken by assessee in pursuing remedy before Court and period during which order stayed to be excluded. [S. 245D(4A)]
S. 226 : Collection and recovery-Stay-Pendency of appeal before CIT(A)-Non speaking order-Garnishe notices to Banks was quashed and attachment of Bank account was lifted. [S. 226(3)]
S. 80P : Co-operative societies–Co–Operative Bank-Assessee must substantiate that its main object of incorporation continues to be fulfilled In relevant assessment year-Benefit is not allowable solely on basis of certificate of registration-Assessee is not entitled to deduction if it ceases to be of specified class of society in any year even if it was eligible for initial years. [S. 80P(4)]