S. 12AA : Procedure for registration-Trust or institution-Order of High Court affirming the grant of registration is affirmed-SLP of revenue dismissed. [Art. 136]

S. 11 : Property held for charitable purposes-Educational institutions-Capitalisation fees-Search and seizure-Books of account-Sworn statement-Order of Tribunal deleting the addition was affirmed. [S.2(12A), 68, 132(4), 132(4A), 164(1), 260A]

S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Make available-Global online learning platform providing online courses and degrees from leading universities and companies-Merely provided access to contents of universities/companies through platform on receipt of fees and it did not make available any technical knowledge, experience, skill, know-how, or processes; receipts of assessee were not chargeable to tax as fees for included services (FIS) under Indo-US DTAA-SLP of revenue dismissed.[Art. 12, Art. 136]

S. 9(1)(i): Income deemed to accrue or arise in India-Business connection-Consideration received from its Indian subsidiary under service agreement was not taxable in India on ground that it had no permanent establishment (PE) in India and that services were rendered from China-Identical issue pending before Appellate authorities in assessee’s own case-Writ petition dismissed-Deduction at source-Certificate for lower rate-In absence of any specific provision in law or DTAA, services rendered virtually through email, video conferencing, etc., could not be treated as services physically rendered in India-Held, yes-Whether mere virtual rendering of services to an Indian entity was insufficient to conclude that services were rendered in India-DTAA India-China [S. 90(1), 90(2), 195, 197, Arts. 5(1), (2)(k), (3)(b), 7, 12(4), Art. 226,R.28AA]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Permanent establishment-Test of “virtual projection” cannot be applied on perception or theory-Liaison office and wholly-owned subsidiary do not constitute PE in absence of evidence of disposal, control or authority to conclude contracts-Onus on Revenue to establish existence of PE-Subsidiary carrying on independent business on principal-to-principal basis-No fixed place or dependent agent PE-Interest on delayed consideration taxable-Supply of software not royalty or FTS under-DTAA-India-Finland.(1985) 152 ITR (St.) 57)-SLP of revenue dismissed on account of delay of 286 days.[S. 90(2), Art. 5(8), Art. 136]

S. 5: Scope of total income-Accrual-Non-resident-Base note-Deposits in an HSBC Geneva account opened abroad, and Revenue failed to establish that such income accrued, arose, or was received in India, addition of peak balance was unsustainable as income outside India was not taxable without a clear nexus with India. [S. 5(2),9(1)(i), 260A]

S. 5 : Scope of total income-Accrual-Forward contracts-Profits from forward commodity contracts-Unrealised ‘mark-to-market’ gains made on forward contracts were not liable to tax in the relevant year prior to actual accrual or realisation on maturity of the instrument.[S.4, 145, 260A]

S. 5 : Scope of total income-Accrual-Interest accrued-Agreement indicating that assessee would be entitled to claim 21 per cent interest per annum; income automatically accrued to it with lapse of time and there was no question of amount being whisked away as not being income by calling in aid theory of no real income, etc.-Order of High Court affirmed.[S. 4, 145, Art. 136]

S. 4: Charge of income-tax-Income-Sales tax incentive/remission received under a State incentive scheme constituted a capital receipt not chargeable to tax. [S. 2(24)]

S. 4 : Charge of income-tax-Arbitral award-Deduction of tax at source-Amount deposited pursuant to interim order of Karnataka High Court-Right to receive had not crystallised and would be taxable only when dispute was finally resolved in assessee’s favour-Order of Tribunal set aside. [S. 145, 260A]