S. 47(iii) : Capital gains-Transaction not regarded as transfer-Gift-Company-Living Person capable of making gift-No attributes like love and affection is prescribed-Transfer of plots by Assessee by way of gift deed in favour of another company is valid gift-Not liable for capital gains tax-Person-Living Person. [S. 45,50C, Transfer of Property Act, 1882, S. 5, 122]

S. 43B : Deductions on actual payment-Late payment of Employees’ contribution to Provident Fund-Disallowance is justified.[S.36(1)(v)]

S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Transporters-Each payment was less than Rs 35000/-Matter remanded.

S. 40(a)(ia): Amounts not deductible-Deduction at source-Only interest and not principal-Form No 26A filed-Delay is condoned-Matter remanded. [S.194A, 201(1)]

S. 40(a)(i) : Amounts not deductible-Deduction at source-Commission-Non-resident agents-Payments were made outside India-Not having a permanent establishment in India-Not liable to deduct tax at source-Allowable as deduction-DTAA-India-France-Italy-Greece-Lebanon. [S. 37(1)]

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Salary-Deducted TDS and deposited it in the government account within the specified time-Disallowance of salary cost is not justified.[S. 192]

S. 37(1) : Business expenditure-Audit of accounts-Ad-hoc disallowance-Order of CIT(A) disallowing the ad-hoc disallowance is affirmed. [S.44AB]

S. 37(1) : Business expenditure-Employee Stock Option (ESOP)-Allowable as business expenditure.

S. 37(1) : Business expenditure-Bogus purchase-Rough diamonds-Estimate addition-Estimated the profit @ 3% of the polished diamonds and @5% of the rough diamonds. [S. 143(3)]

S. 37(1): Business expenditure-Capital or revenue-ROC filing fees paid for increase in share capital-Not allowable as revenue expenditure.