S. 68 : Cash credits–Non–Resident–I Not an ordinary resident -if the assessee is non–resident amount found deposited in a foreign bank is not taxable in India either u/s 68 or u/s 69 of the Act. Period of 182 days to be considered for calculating residential status of a person migrated to Foreign Country [S. 6(6), 69]

S. 56 : Income from other sources–Valuation-start-up-Assessee has the option under Rule 11UA(2) to determine the FMV by either the ‘DCF Method’ or the ‘NAV Method’-The AO has no jurisdiction to tinker with the valuation and to substitute his own value or to reject the valuation. [S. 56(2)(viib),,R.11UA(2)]

S. 43(5) : Speculative transaction-Non–banking financial company- Trading in shares and securities-Loss incurred as a result of trading in shares–cannot be set off against the business of futures and options as it did not constitute profits and gains of a speculative business. Statement by assessee before Assessing Officer that share trading was its sole business during the year – Bond by admission – Interpretation- Intention of legislature to be seen . [S. 73, 143 (3( ]

S. 40A(9) : Expenses or payments not deductible-Contributions to unapproved and unrecognized funds–Held to be allowable if they are genuine in nature. [ S.36(1) (iv), 36(1)(iva) 36(1)(v) ]

S. 271BA : Penalty-Failure to furnish reports-International transaction-Transfer pricing–Report was filed in the course of assessment proceedings–Failed to up load the form on e. portal – Ignorance or oversight–Bona fide mistake -Levy of penalty is held to be not justified. [S. 92CA(3), 92E, 273B]

S. 271AAB : Penalty-Search initiated on or after 1st day of July 2012-Undisclosed income–Surrender of long term capital gain- income – Would not ipso facto be regarded as undisclosed income unless and until it is tested as per definition provided in Explanation to section 271AAB of the Act – Order of penalty is quashed. [S. 45, 132(4), 153A, 275]

S. 115JA : Book profit – Provision for wealth-tax could not be included for purposes of computation of book profit.

S. 80G : Donation–Paid through bank and receipt in the name of assessee-Held to be allowable as deduction.

S. 56 : Income from other sources – Excess share premium- second level subsidiary of a company in which public are substantially interested – Addition cannot be made. [S. 2(18), 2(24), 56(2)(viib), R. 11UA]

S. 54F : Capital gains- Investment in a residential house–Property was co-jointly owned in name of wife–Could not be treated as absolute owner–Exemption cannot be denied. [S. 45]