S. 32 : Depreciation -Computer software —Intangible asset- Entitled to depreciation at 60% Per Cent.

S.32: Depreciation —Hotel business – Car parked at premises of managing Director – Depreciation cannot be disallowed – Gym equipment – Depreciation cannot be disallowed because it was used by managing director .

S .14A : Disallowance of expenditure – Exempt income – Presumption that the investment was made with interest free funds – Matter remanded [ R.8D ]

S .14A : Disallowance of expenditure – Exempt income – No exempt income earned during year — No disallowance permissible [ R.8D ]

S. 11 : Property held for charitable purposes – Microfinance to self help groups – No profit motive – Denial of exemption is not justified [ S. 2(15), 12A ]

S. 11 : Property held for charitable purposes – Hospital – Closer of loss making unit – Rule of consistency applied – Entitle to exemption and registration.[2(15),11(1),11(4A),12AA,13(1)(c),13(3)]

S. 11 : Property held for charitable purposes – Principle of consistency- No change in the nature of activities – Denial of exemption is not justified- Once the activities of the assessee-society were charitable, the principle of mutuality became superfluous. [ S. 2(15), 12, 12A, 13 ]

S. 10A : Free trade zone- Deduction of profits of business of eligible undertaking to be made independently before giving effect to provisions for set off and carry forward. [ S.10B ,70, 72, 74 ]

S. 10 (23C): Educational institution-Approval from prescribed authority mandatory —Not entitled to exemption [ S. 10 (23C)(v)]

S. 271(1)(c) : Penalty – Concealment –Failure to file form No 29B -Return filed on the advice of Chartered Accountant – Levy of penalty is held to be not justified .[ S.115JB ]