S. 37(1) : Business expenditure-Freebies to doctors-Matter referred to larger bench of three or more members to consider question as to allowability of expenditure. [S. 143(3), 153A Indian Medical Council (Professional Conduct, Etiquette and Ethics) Regulations, 2002. S. 20A]

S. 37(1) : Business expenditure-Sub-brokerage-Held to be allowable as deduction.

S. 37(1) : Business expenditure-Freight inward expenses-Incurred in cash-Supported by self made vouchers-Disallowance is restricted to 7.5 %.

S. 37(1) : Business expenditure-Pre-Operative expenses-Real estate business-Do not form part of work in progress-Office expenses, salaries, advertising, travelling expenses which are incurred for running of business operations are to be treated as revenue expenditure and allowed as deduction.

S. 36(1)(iii) : Interest on borrowed capital-Own funds are more than interest free investment-No disallowance can be made.

S. 32 : Depreciation-Computer software-Integrated part of computer system-Eligible depreciation at rate of 60 percent.

S. 28(iv) : Business income-Value of any benefit or perquisites-Converted in to money or not-Dealer-Redistributor-Incentive from UI for purchase of Van-Not in the nature of perquisite-Reduced from the cost of acquisition for claiming depreciation. [S. 32, 43(1)]

S. 28(i) : Business income-Gross income as per books of account and gross revenue in from No 26AS-Reconciliation statement was filed-Matter remanded to the Assessing Officer-Capital gains-Valuation report-Assessing Officer cannot reject the valuation report of the valuer without referring to valuation Officer-Matter remanded. [S. 45, 50C(2), 194H, Form No 26AS]

S. 14A : Disallowance of expenditure-Exempt income-Disallowing the expenditure without recording satisfaction is held to be not justified. [R. 8D]

S.14A : Disallowance of expenditure-Exempt income-Only the value of investments which yielded exempt income during year. [R. 8D (iii]