S. 234B : Interest-Advance tax-Waiver of interest-Bonafide belief based on the basis of judgements of Tribunal or High Courts at the time of filing of return-Matter remanded to CBDT to consider if the assessee is able to show existence of any s judgment of Tribunal/High Court though not necessarily of jurisdictional Tribunal/High Court, no interest was to levied upon assessee. [S.80HHC, 119, Art, 226]

S. 225 : Collection and recovery-Stay of demand-Attachment-Once the demand of 20 % of tax in dispute is paid the attachment order passed u/s 226 (3)was unjustified and was set aside. [S. 220, 226 (3), Art. 226]

S. 92C : Transfer pricing-Arm’s length price-Comparable-Functional similarity-Company engaged into software products and medical transcription, could not be accepted as comparable-Company engaged in different verticals and working through outsourcing models, could not be accepted as valid comparable-company having gone through extraordinary events during relevant year, could not be accepted as valid comparable.

S. 145 : Method of accounting-Real estate developer-Percentage completion method-ICAI guidance note of AS-7-Project completion method is accepted-Order of Appellate Tribunal is affirmed.

S. 92C : Transfer pricing-Arm’s length price-No addition can be made even if assessee has Permanent Establishment in India. [S. 9(1)(i)]

S. 69 : Unexplained investments-Under invoicing-Report of Enquiry commission-Purchased ‘royalty paid’ iron ore from open market and exported same at arm’s length price, no addition could be made on ground of under-invoicing of export on basis of some report of Enquiry Commission.

S. 68 : Cash credits-Burden of proof-Relevant evidence produced first time before High Court-Matter remanded the Assessing Officer to consider the evidence and pass appropriate order [S.260A]

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Waiver of loan does not amount to cessation of trading liability neither taxable under section 41 (1) nor under section 28(iv) of the Act. [S. 28(iv)]

S. 28(i) : Business income-Real estate development-Letting out mall-Assessable as business income and not income from house property. [S. 22, 23]

S. 11 : Property held for charitable purposes-Return was not filed with in the period specified in the notice-Assessment completed denying the exemption and demand was raised-Application for condonation of delay in filing the return was pending before CBDT-Directed to decide the application for condonation of delay and the demand was stayed till the disposal of application. [S. 12AA, 119, 139, 142(1), Form No. 10B, Art. 226]