S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Subsidiary company neither concluded any contracts on behalf of assessee-US company-It had no such authority nor secured any orders for it in India, it could not be regarded as Agency PE of assessee in India- DTAA -India-USA. [Art. 5(6)]

S. 4 : Charge of income-tax-Development and operation of multipurpose port terminal- Share capital in form of foreign inward remittance-Unutilised funds–FDR interest-Capital receipt–Interest income is a capital receipt and is not taxable at all both under the normal provisions of the Act as well as under S. 115JB of the Act. [S. 56, 115JB]

S. 4 : Charge of income-tax–Mesne profit–Arbitral award-damages from tenant for unauthorized occupation of let out property, amount so received being in nature of ‘mesne profit’ was a capital receipt, not liable to tax. [S. 22]

S. 4 : Charge of income-tax–Capital or revenue-Income from sale of Carbon emission reduction certificates is capital receipt. [S.80IA, 115BBG]

S. 2(22)(e) : Deemed dividend-Repayment of loan or advance, which gets deemed, on receipt, on account of legal fiction, as a distribution of profit and, thus, as income in hands of payee shareholder, is of no consequence. [S. 10(34), 2(24)(iii), 56]

S. 80M : Inter corporate dividends – Deduction to be on gross income and not on net income. [ S.80HHC ]

S.147: Reassessment – After the expiry of four years- Limitation — Family settlement – Notice for assessment year 1999-2000 Notice issued to Power of Attorney holder within six Years —Held not barred by limitation -Reassessment is held to be valid – Dispute settled and consent decree passed – No family settlement – Consideration is held to be taxable as capital gains .[ S.45 ,148,163 ]

S. 263 : Commissioner-Revision of orders prejudicial to revenue– Bad debt-Provision for bad debt in books and debit to profit and loss account–Entitle to deduction-Revision is held to be not valid. [S. 36(1)(vii), 36(2)(v)]

S. 254(2) : Appellate Tribunal-Rectification of mistake apparent from the record–Failure to consider an argument advanced by either party to arrive conclusion is not an error apparent on record though it may be error of judgement. [S. 144]

S. 201 : Deduction at source-Failure to deduct or pay–Non–residents-Limitation period prescribed in sub-section (3) of section 201 would be equally applicable in respect of non-residents-Order held to be in valid.[S. 40(a)(ia), 195, 201(3)]