S. 4 : Charge of income-tax -Deposit -Subscription receipt -The primary liability and onus is on the Dept to prove that a certain receipt is liable to be taxed-.Deposits collected by a finance company are capital receipts and not revenue receipts-.The fact that the deposits are credited to the profit and loss account is irrelevant-.The true nature of the receipts have to be seen and not the entry in the books of account .[ S.145 ]

S. 32 : Depreciation-Transit mixer mounted on vehicle eligible for higher rate of depreciation-Trucks on which said RMC was mounted for transporting it to construction site –Not eligible for higher depreciation. [S. 32(1)(iia)]

S. 11 : Property held for charitable purposes-Relief for poor does not necessarily mean giving something free of cost to poor and it also includes providing them things at a concessional rate-Social objective of providing plots and sites to economically weaker section of society at affordable and reasonable rates-Held to be charitable purpose–Entitle to exemption. [S. 2(15)]

S. 10(37) : Capital gains – Agricultural land – Interest received on enhanced compensation-Entitle to exemption. [S.45(5), Land Acquisition Act, S. 28]

S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Dubai based branch a foreign bank, received referral charges from its Indian Branch for referring a resident client to Indian branch for bringing out issue of convertible bonds- Not liable to tax in India as fee for technical services- Transaction with head office-Interest paid- Neither deductible nor chargeable – DTAA-India- Switzerland. [S. 9(1)(i), Art. 7, 12]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection – Income from grouting to be taxable income arising out of a Fixed Place Permanent establishment-DTAA-India–UAE. [Art. 5]

S. 194B : Deduction at source-Winning from lottery-Cross word puzzle -stake money–Money paid to horse owners for winning races The position of TDS on ‘stake money’ has not changed even after amendment in S. 194B of the Act by Finance Act, 2001 and the position prior to amendment continues to prevail, i.e. stake money is not liable to deduct tax at source either under S.194BB or under S.194B of the Act-Recipients have shown the income received from the assessee and paid the taxes-Assessee cannot be treated as an assessee in default–Interest levied is set aside. [S. 194BB, 201(1), 201(IA)].

S. 260A : Appeal – High Court -Restoration of appeal -Delay of 2386 days- Appeal not to be dismissed only on the ground of failure to get numbered / registered – Delay being technical in nature condoned and appeal restored. [ Bombay High Court ( Original side ) Rules 986, Customs Act .]

S. 276C : Offences and prosecutions – Wilful attempt to evade tax-Concealment penalty is deleted –Quashing of prosecution is automatic- The High Court can exercise its inherent jurisdiction to quash the prosecution and not indulge in the empty formality of directing the assessee to approach the Trial Magistrate .[ S.271(1)( c ),, 277 278 , Art , 226 , 227 ]

S. 147 : Reassessment-After the expiry of four years-Client code modifications (CCM)–Recorded reasons being vague merely on the basis of information received from the office of DIT (Intell CR Inv.) reassessment is held to be bad in law. [S. 148]