S. 68 : Cash credits-Cash deposit-Demonetisation-Cash sales-Trading in jewellery-No discrepancy in books of account-Recording of customers’ Permanent Account Number is not legally mandated for sales not exceeding Rs. 2 Lakhs-Source for cash deposits out of traceable source-Order of CIT(A) deleting the addition is affirmed. [S.115BBE, R. 114B]

S. 68 : Cash credits-Fictitious transactions-Losses can be set off-Entire exercise becoming tax neutral-Derivative gain-Addition is deleted.

S. 54F : Capital gains-Investment in a residential house-Allotment letter-Flat under construction-Date of issue of allotment letter more than 36 months-Long term capital gains-No bar on appellate authorities to entertain claim-Directed to allow deduction after verification. [S. 2(29A), 45, 139]

S. 45 : Capital gains-Long-term capital gains-Merely on the basis of Audit report addition cannot be made. [S.143(1)]

S. 43B : Deductions on actual payment-Electricity company-Electricity duty and tax on sale of electricity adjusted by Government against Government subsidy after close of accounting year-Deduction is to be allowed in year payment is made-Matter is remanded.

S. 40(a)(ia): Amounts not deductible-Deduction at source-Remittances to foreign university of fees collected from students for conduct of examinations-No disallowance can be made-DTAA India-UK [S. 9(1), Expl 2,195 Art. 13(5)(c)]

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Royalty-Fes for technical services-Payments for telecommunications services to associated enterprises is not Royalty or fees for technical services-Not liable to deduct tax at source-DTAA-India-USA [S. 9(1)(vi), 9(1)(vii), 195, Art. 12]

S. 37(1) : Business expenditure-Disallowance for inflated purchases-Self-made vouchers not containing any details such as names of supplier or mode of payment-Disallowance is affirmed.

S.37(1): Business expenditure-Capital or revenue-Contribution to corpus fund of International Solar alliance for awards and prizes-Allowable as revenue expenditure.

S.37(1): Business expenditure-Providing Documentation And Administration support in relation to vessel traffic at ports and co-ordination with various Government authorities to obtain clearances, certificates and approvals Accrual of income-Accrual of income-Loan to director-Interest offered to tax-Interest written off-Matter Remanded To Commissioner (Appeals) to verify the facts. [S. 4, 5]