S. 142A : Estimate of value of assets by Valuation Officer-Search and seizure-DDIT (Inv)/ADIT (Inv) was empowered to make reference to Valuation Officer inserted by section 132(9D) only after 1-4-2017 by an amendment by Finance Act, 2017-Addition made on the basis of valuation report was held to be not valid-Valuation report cannot be considered as incriminating document. [S. 132(9D), 153A]

S. 132(4) : Search and seizure-Statement on oath-When the addition was made on account of seized material once again addition cannot be made on the basis of statement which will lead to double addition. [S. 132, 143(3), 153A]

S. 124 : Jurisdiction of Assessing Officer-Return filed in Kolkata-Proof of change of address in PAN database proved that assessee had changed his address properly and department was already in knowledge of address of assessee at Kolkata-Assessment initiated by Assessing Officer from Kanpur-Notice and assessment is held to be in valid. [S. 142(3), 143(3), 150]

S. 115-O : Domestic companies-Tax on distributed profits- Whether the protection granted by the tax treaties under section 90 of the Income-tax Act 1961, in respect of taxation of dividend in the source jurisdiction, can be extended, even in the absence of a specific treaty provision to that effect, to the dividend distribution tax under section 115 ‘0’ in the hands of a domestic company ? Registry is directed to place the matter before the Honourable President for his kind consideration for the appropriate orders. [S. 255(4)]

S. 115JB : Book profit-When income is not reported in its P&L account, could not be said that its prepared in accordance with Part II and III of Schedule-VI to Companies Act. AO is justified to re-compute book profit u/s. 115JB-Disallowance u/s. 14A r.w. rule 8D is not to be applied while determining book profits. [S. 14A, R. 8D]

S. 92C : Transfer pricing-Arm’s length price-Corporate guarantee distinct from bank guarantee-Average of guarantee fee paid by assessee cannot be questioned.

S. 92C : Transfer pricing-Arm’s length price-Bona fide expenditure should be incurred while availing services-Application of benefit test is not warranted-Matter remanded. [S. 254(1)]

S. 92C : Transfer pricing-Arm’s length price-Management fee-Documents filed to justify and availment of services have to accept value of management services as claimed by assessee-Functional similarity-Assessee involved in advertising agency, data not available in public domain for comparability of business support system segment of said company, it could not be compared to marketing support service provider-Income from exhibitions and events, should be excluded from comparable list to marketing support service provider.

S. 92C : Transfer pricing-Arm’s length price-Comparable-Software consultancy-Functional similarity-Company engaged in providing both software products as well as software development services could not be accepted as comparable-A company engaged in providing information services could not be accepted as comparable-A company providing information services could not be accepted as comparable.

S. 69A : Unexplained moneys-Loan-Confirmation from such two persons from whom money was received as ‘temporary loan’ was not produced-Matter remanded back to decide afresh. [S. 254(1)]