S. 139 : Return of income-Carry forward of loss-Return is filed within time-CIT(A) is recording wrong date-The Assessing Officer is directed to carry forward the loss. [S.139(1), 139(4), 139(5)]

S. 133A :Power of survey-Statement in the course of survey-Bogus purchases-Statement was retracted within six days-Assessment based solely upon statement of one partner could not be sustained-Without rejecting books of account no addition can be made as bogus purchases-The acceptance by the assessee of the addition in one assessment year could not lead to a conclusion that in all these assessment years, the assessee had inserted bogus purchases in a similar way-Reassessment is valid. [S. 131, 131(IA),133,Indian Evidence Act, 1872, S 31]

S. 133A : Power of survey-Copy of statement recorded was not furnished-Opportunity of cross examination-Matter restored To Assessing Officer for re adjudication after granting assessee adequate opportunity to cross-examine director.

S. 115WB : Fringe benefits-Employer-Employee relationship-Advertisement and business promotion expenses-Conference and meeting expenses and gift articles-Accepting that expenses incurred for benefit of Doctors-No employer and employee relation ship-Addition is deleted. [S.115W(2)(d), 115WB(2)(o)]

S. 115JB : Company-Book profit-Lease equalisation reserve created on leases on buildings being used by assessee-Not to be added while computing book profits.

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Arm’s Length Price-Most appropriate method-Resale price method is most appropriate method-Comparable-Functionally comparable-Deletion of transfer pricing adjustment is proper.

S. 92B : Transfer pricing-International transaction-Arm’s length price-Avoidance of tax–Corporate guarantee-Corporate guarantee commission to be charged qt 0.50 Per Cent.[S.92CA 92E]

S. 90 : Double taxation relief-Foreign tax credit-Filing of Form 67 with certificates and statements is mandatory-Directory with respective to time-limit-DTAA does not prescribe filing requirement for foreign tax credit it will prevail over provisions of domestic law-Form, certificate and statements filed with return belatedly but before actually processing or before final assessment made is sufficient compliance-Entitled to credit-DTAA-India-USA.[S.6,90A, 91, 139(1) 139(4), R.128(9), Form No 67, Art. 25, 26]

S. 80P : Co-operative societies-Rental income and interest on deposits-Service charges shown as income from other sources-Matter remanded to the file of CIT(A). [S. 22, 24, 56, 57]

S. 69C : Unexplained expenditure-Bogus purchases-Not doubted sales-Estimate of income at 12.5 Per Cent. of bogus purchases is affirmed-As regards special deduction-Industrial undertaking-Matter is remanded. [S.80IC]