S. 115JB : Company-Book profit-Exempt income-No addition can be made-Adjustment in respect of interest on perpetual debentures is set aside-Pendency of rectification application-Assessing Officer is directed to dispose of rectification application [S. 14A, 37(1), 154]

S. 115JB : Company-Book profit-Exempt income-Cannot be considered while computing book profit-Interest on income tax refund-No power to make adjustment other than of items enumerated in Explanation 1. [S. 14A, R.8D]

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Most appropriate method 1Royalty-The profit split method could not be applied-The transactional net margin method is held the most appropriate method. [R.10B(1)(d)]

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Captive power consumption-Supplying electricity to other units-Purchasing electricity from other distribution companies 1Transfer Two methods available to determine market value-Option available to assessee to pick between two methods-Adjustment is not valid. [S.80IA (8), 92BA, 92F]

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Advertisement, marketing and promotion expenses 1Not an international transaction-Payment of royalty on import of goods-Presumptions-Adjustment is not justified-Information Technology support services-Export of raw material and finished goods-Comprable-Details of expenses with debit notes supporting invoices-Matter remanded to TPO-System up grade-Matter remanded-Distributing dividend to non-Resident shareholders-Matter remanded. [S.92B]

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Interest on delayed receipts of sale proceeds-Benchmarking at Libor Plus 200 basis points Benchmarking is accepted-Management consultancy services, Technical services and business support services-Comparables-Nature of services provided by company not functionally comparable-Commissioner (Appeals) is justified in including company-Corporate guarantee given to its Associated enterprises for availing of loans from financial institutions-Splitting of differential interest in ratio 50 : 50 between assessee and its associated enterprises 1Order of CIT(A) is affirmed-Captive power plant eligible unit-Transfer of electricity generated to other undertakings 1Internal comparable uncontrolled price-Order of Commissioner (Appeals) is a affirmed.[S.80IA]

S. 45 : Capital gains – Crypto currency –Bitcoin- Virtual Digital Asset – Held for more than 3 years (Thirty six months ) – Property of any kind – Taxable as capital gains – Not as income from other sources – Entitle to claim exemption under Section 54F of the Act – Finance Act, 2022 w.e.f. 01.04.2022, Section 2(47A) had been inserted thereby Virtual Digital Asset meaning was assigned and that included underlying assets Bitcoins – When there are two views are possible the view which is favorable to the assessee be considered . [ S.2(14), 2(47),2(47A), 54F , 56(2)(x), 115BBH, 194S, Foreign Exchange Management Act, 1999.2(h),2(m), 2(q)] .

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Share application money 1Treated as loan and transfer pricing adjustment made imputing interest-Addition is deleted.

S. 90 :Double taxation relief-Foreign tax credit 1 Short credit without stating reasons 1Matter remanded.

S. 80P : Co-operative societies-Miscellaneous income-Grant from Government for activities in terms of bye-Laws 1Cannot be treated as income from other sources 1 Eligible for deduction. [West Bengal Co-operative Societies Act, 1973]