S. 49 : Capital gains – Previous owner – Cost of acquisition –Financial asset – Period of holding -Brand name – Transfer of intangible assets with right to carry on business – Holding period should be determined including period of holding of previous owner, ie. Amalgamating Company-No transfer taking place on appointed date of Amalgamation — Period of holding more than 36 months — Receipt taxable as long-term capital gains [ S. 2(11) ,2(42A) , 45, 49 (1), 55(2)(a)(ii) ]

S. 37(1) : Business expenditure -Capital or revenue – One time lease rental charges for 90 years – One-Ninetieth of amount paid allowable as revenue expenses and balance to be treated as pre paid advance rent .

S.37(1): Business expenditure -Capital or revenue – Expenditure on setting up of new outlets an expansion of existing business — Expenditure on salary and conveyance allowable as revenue in nature.

S.37(1): Business Expenditure — Interest for delayed payment of pole rental charges- liability crystallised during the year -Not prior period expenses but compensatory in nature — Allowable as deduction . [ S.145 ]

S. 36(1)(iii) :Interest on borrowed capital – Intercorporate deposit to subsidiary – Strategic purposes and not for earning dividend – Interest is allowable as deduction – Common interest expenditure to be apportioned on basis of cost of financing and not on basis of turn over- Business income – Shipping business – Tonnage income not form part of normal business Income . [ S.37(1), 115VE ]

S.36(1)(iii: Interest on borrowed capital — Till asset for which loan borrowed is put to use, interest not allowable [ S.37(1) ]

S. 35DD : Amortisation of expenditure – Amalgamation – Demerger –
Expenses allowable in hands of parent company and not resultant company [ S.37(1) ]

S.32: Depreciation — Additional depreciation —Manufacturing – Coffee making machine, vending machine and express Kiosks used for converting raw coffee beans into liquid coffee fit for human consumption —Entitled to additional depreciation.[ S.32(1)(iia)]

S. 32 : Depreciation -Modem-Eligible for higher rate of depreciation at 60 Per Cent.

S.28(i):Business loss- Loss on account of fluctuation in rate of foreign exchange -Allowable as business loss [ S.37(1), 145 ]