S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Non-Resident had no Permanent Establishment in India-Non-discrimination clause in Double Taxation Avoidance Agreement applicable-Disallowance is not justified-Provisions of agreement more beneficial to assessee is applicable-DTAA-India-Japan-United States of America.[S.9O, 195, art. 24(3), 26(3)]

S. 32 : Depreciation-Intangible Assets-Goodwill-Amalgamation-The order of the Tribunal allowing the depreciation claim of the assessee was upheld by the High Court. [S. 32(1)(ii)]

S. 12A : Registration-Trust or institution-Method and manner of service of notice under statutory provisions-Notice and reminders issued by CIT(E) were reflected only on portal and not sent to the assessee at its registered email address-Order passed was set aside holding that before any action is taken, a communication of notice must be in terms of provisions of section 282 and rules made thereunder [S. 12A(1)(ac)(ii), 282, Rule 127, Art. 226]

S. 2(24)(xviii) : Income-Assistance in the form of a subsidy or grant or cash incentive or duty drawback or waiver or concession or reimbursement-Incentive-Subsidies-Capital or revenue-Constitutional validity of insertion of sub-clause (xviii) of the Finance Act, 2015 which brought subsidies, all forms of incentives given by Government under the ambit of taxable income-The Amendment was constitutionally valid-The mere fact that the institution of tax by virtue of the impugned sub-clause falls more heavily on petitioner cannot result in its invalidity-Court Cannot Substitute Legislative Judgment of Economic Policies. [S. 4, Art. 12, 14, 19, 226, 246, 265, 289]

S. 277 : Offences and prosecutions-False statement-Verification-Prosecution was launched two years prior to date of filing of application before Settlement Commission-Pending of prosecution was not brought to the notice of Settlement Commission-Provision of section 245I is not applicable-Proceedings canot be quashed-SLP of assessee is dismissed.[S. 245C, 245I, Art. 136]

S. 276C : Offences and prosecutions-Willful attempt to evade tax-Paid self assessment tax with interest-Delayed payment of income tax would not amount to evasion of tax, there was no evasion of tax on part of assessee-company though there was a delay in payment of tax for which interest was paid-Prosecution launched is quashed. [S.140A(3), 276(2), 278B, Art. 226]

S. 276B : Offences and prosecutions-Failure to pay to the credit tax deducted at source-Reasonable cause-Concerned staff was on leave-Proceedings are quashed. [S. 201(1)278AA, Art. 226]

S. 276B : Offences and prosecutions-Failure to pay to the credit tax deducted at source-Principal officer-Merely because a person holds an office in a corporate entity, it would not be sufficient to place that individual in clause (b) of section 2(35); he must be connected with management and administration of company Matter remanded. [[S. 2(35)(b), Art. 226]

S. 275 : Penalty-Bar of limitation-Natural justice-Delay of ten years in issuing show cause notice-Notice issued in November 2017-Barred by limitation-Order of High Court is affirmed-SLP of Revenue is dismissed. [S. 271, 274, 275(1)(c)]

S. 271DA : Penalty for failure to comply with provisions of section 269ST-Attachment of bank account-Pendency of appeal before CIT(A)-Directed to remit a certain amount-Attachment is directed to lifted. [S.12A, 80G, 269ST, Art. 226]