S. 254(1) : Appellate Tribunal – Powers-Tribunal cannot go beyond question in dispute- When the amounts could not have been added under section 68 , the Tribunal was not competent to make the addition under section 69A -The order of the Tribunal was vitiated in law-Matter remanded to the Tribunal. [ S.68, 69A ]

S. 144 : Best judgment assessment – Low net profit – Tribunal remanded the matter for re examination- No question of law .[ S.260A ]

S. 132(4) : Search and seizure – Statement on oath –Block assessment -Declaration after search has no evidentiary value — Additions cannot be made on basis of such declaration. [ S. 158BC ]

S. 80IA :Industrial undertakings – Prior to assessment Year 1999-2000 benefit under Section 80IA is available without exclusion of deduction Under S.80HHC –Sub –section (9a) with effect from 1-4-1999 is prospective-Circulars binding on revenue -Liberal interpretation — Retrospective operation of provisions. [ S.80HHC, 119 ]

S.68: Cash credits —Evidence of loan and creditworthiness of lenders were furnished –Amount not assessable as cash credits.

S. 56 : Income from other sources –Gifts from relatives-Maternal aunt- Gift need not be on a particular occasion-Addition cannot be made as income from other sources [ S.56 (2)(v)68 ]

S. 43B : Certain deductions on actual payment -Excise duty — Unutilised modvat credit of earlier years, which is adjusted in current Assessment Year, cannot be treated as actual payment. Customs duty and sales tax of earlier years is allowable as deductions.[ S.145A ]

S. 40(a)(i) : Amounts not deductible – Deduction at source -Non-resident-Operated outside India- Not liable to deduct tax at source. [S.195]

S.32: Depreciation — Actual cost —Customs duty paid could be capitalised with retrospective effect and depreciation was to be calculated by including the said amount.[ S.43(1)]

S. 14A : Disallowance of expenditure – Exempt income – Sufficient funds- Onus is on department to establish nexus between expenditure disallowed and earning of interest income —Deletion of disallowance is held to be justified . [ R.8D ]