S. 56 : Income from other sources -Share premium- DCF method-Order of Tribunal deleting the addition is affirmed. [S. 56(2)(viib), R 11UA(2), 260A]

S. 48 : Capital gains-Computation-Purchase and sale of shares-Sham transactions-Set off of short term loss against short term capital gains-Order of Tribunal disallowing the loss is affirmed.[S. 45, 260A]

S. 40A(2): Expenses or payments not deductible-Excessive or unreasonable-Tribunal was justified in holding that expenses claimed by assessee were not excessive and disallowance of assessee’s claim was unsustainable-SLP of revenue dismissed-DTAA -India -Italy. [S. 9(1)(i), Art. 7, Art. 136]

S. 37(1) : Business expenditure-Capital or revenue-Redemption of debentures- Allowable as revenue expenditure -SLP of revenue dismissed. [Art. 136]

S. 37(1) : Business expenditure -Securities held as stock in trade -Broken period interest-SLP of revenue dismissed.[Art. 136]

S. 14A : Disallowance of expenditure-Exempt income-where no exempt income is received or receivable during relevant previous year-SLP of revenue dismissed on account of failure to explain 597 days of delay. [Art. 136]

S. 12AA : Procedure for registration -Trust or institution- While deciding application for registration the Commissioner cannot comment on genuineness of activities of trsut-Required to restrict to object of trust-SLP of revenue dismissed.[S.12A, Art. 136]

S. 11 : Property held for charitable purposes-Dominant object was not only preservation of environment, but also one of general public utility- liquid and solid industrial waste generated by polluting industries in Common Effluent Treatment Plant and Total Suspended Disposal Facility and did anciliary activities for purpose of curbing pollution- Entitled to exemption-Monetary limits- SLP dismissed due to low tax effects. [S. 2(15), 268A, Art, 136]

S. 11 : Property held for charitable purposes-Activities charitable in nature -Entitle for exemption- SLP of revenue dismissed. [S. 2(15),12AA, Art. 136]

S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Payment to Non-Resident telecommunication operators for provision of bandwidth and inter-connectivity usage-Not royalty-Not liable to deduct tax at source-Expansion of definition of royalty inserted later-Assessee cannot be expected to foresee future amendment at time of payment in earlier assessment years-Jurisdiction-No jurisdiction to tax income arising from extra-territorial source-Double Taxation Avoidance Agreement-Sovereign document between two countries-Applicable in Proceedings under Section 201 of the Act-DTAA-India-Belgium-SLP of revenue dismissed. [S. 195,201, Art, 136]