S. 40(a)(ia): Amounts not deductible-Deduction at source-interest paid on the deposits-Co-operative bank-Finance Act, 2015 w.e.f. 1st June, 2015-Amendment is applicable prospectively w.e.f. 1st June, 2015 and not applicable for the relevant years-Deletion of disallowance is affirmed.[S.194A(3)(v)]
S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Commission payment to foreign agents-Services rendered abroad-Not liable to tax in India-Not liable to deduct tax at source. [S.9(1)(i), 195]
S. 37(1) : Business expenditure-Capital or revenue-Registration charges of new and existing patents-Allowable as revenue expenditure.
S. 35 : Expenditure on scientific research-Weighted deduction-In-house scientific research-Expenditure on clinical trials conducted outside approved-Clinical research outside facility would also be eligible for weighted deduction under S. 35(2AB). [S. 35(2AB]
S. 28(i) : Business loss-Market to market loss-Allowable as business expenditure.[S. 37(1)
S.14A : Disallowance of expenditure-Exempt income-Not possible to maintain separate books of account-The AO is directed to restrict the disallowance on a reasonable basis.[R.8D(2)(iii)]
S. 12AB : Procedure for fresh registration-Registration granted cannot be cancelled without following due process of law-CIT(E) is directed to consider the assessee’s application under S. 12A(1)(ac)(v) in Form 10AB seeking approval for change in its objects/rules/ regulations as per the new trust deed and pass an order afresh in accordance with law.[S.12A(1)(ac)(v), 12AB(4), Form No. 10AB]
S. 10 (23C): Educational institution-Hospital-Controlled and funded by State Government-Matter remanded to the file of the AO de novo adjudication. [S. 10(23C)(iiiac)]
S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Income from offshore supply of plants, equipments, spares, etc.-Assessee has furnished evidence to show that the global profit rate in the paper division is 3 per cent the estimation of profit at 5% by the CIT(A) cannot be accepted-Issue is restored to the AO for de novo adjudication-DTAA-India-Germany.[Art. 5]
S. 2(14)(iii) : Capital asset-Agricultural land-Land situated outside the Municipal limits-As per the last Census i.e., the Census of 2011, Zirakpur had a population of 95,443-Land situated more than four kilometers away from the Municipality Limits of Zirakpur-Sale consideration is not taxable. [S. 45]