S. 220 : Collection and recovery – Assessee deemed in default – Natural justice – Stay -Recovery – When an opportunity of personal audience is requested the law requires due consideration- Rejection of application without affording an opportunity of hearing is set aside- Directed the AO to pass speaking order after giving an opportunity of hearing . [ S.220(3), Art 14. ]

S. 132 : Search and seizure – Loan transaction is reflected in the books of account and return filed by the assesee- No material basis of which a reasonable person could have formed the opinion and lack of jurisdiction – Search action is held to be invalid [ Art. 226 ]

S. 68 : Cash credits –Bogus Purchases – Name of supplier could not be traced – No justification for applying GP rate – Addition as unexplained cash credit is up held [ S.37(1) ,69C 145 ]

S.45(4) : Capital gains – Distribution of capital asset -Retirement- On retirement the amount received does not represent consideration in lieu of relinquishment of his interest in the partnership asset – Addition cannot be made in the assessment of the firm [ S.45 ]

S. 40(a)(ia): Amounts not deductible – Deduction at source – Second proviso to S. 40(a)(ia) of the Act inserted by Finance Act, 2012 is clarificatory and retrospective in nature – No disallowance can be made where the recipient of the amount has already discharged his tax liability therein .[ S. 40(a) ,139(1) ]

S. 12A : Registration –Trust or institution- Assessment was not pending before AO but before the Tribunal -Granting of registration for the AY. 2011-12 is held to be not valid. [ S. 11, 12 ]

S. 9(1)(vii):Income deemed to accrue or arise in India – Fees for technical services – Monies received towards arbitration costs and legal costs – Amount payable as per decree – Not liable to deduct tax at source -DTAA-India – Switzerland [S.190 , Art .22 Arbitration and Conciliation Act, 1996 S.48 ]

S.2(14)(iii): Capital asset-Agricultural land- Capital gains- Agricultural lands and beyond 8 k.m., from the notified cities – Revenue records showing as agricultural lands- Department to prove that the entries in the revenue records and the patta were false or bogus- Entitle to exemption .[ S.45 ]

S. 147 : Reassessment –Bogus share capital- Parent company – Indian subsidiaries- Information from investigation wing – Credit worthiness of the investing company- Reassessment notice is held to be valid .[ S.68 , 148 ]

S. 143(3): Assessment – E-Assessment – Post demonetization-The AO should at least call for an explanation in writing before proceeding to conclude that the amount collected by the assessee was unusual- The AO could have come to a definite conclusion on facts after fully understanding the nature of business of the assessee-Order of AO is set aside and directed the AO is directed to dispose the matter with in sixty days of receipt of the order . [S.69A ,115BBE.]