S. 57 : Income from other sources-Deductions-Interest earned on fixed deposit-Nexus between expenditure incurred and the income earned [S.56,57(iii)]

S. 57 : Income from other sources-Deductions-Compulsory acquisition of property-Interest on enhanced compensation -Assessable as income from other sources and not as business income – Real estate business is not relevant – Entitled to deduction of 50 Per Cent. .[S. 28(i), 56(2)(viii), 57(iv), 145B(1)]

S. 57 : Income from other sources —Deductions-Shortfall in sale consideration for transaction of Sale Of Equity Shares-Burden of fees paid for sale transaction claimed during year of sale-Genuineness of expenditure not in doubt and facts narrated by assessee found correct-Not to be disallowed merely because paid in earlier year.[S.56(2), 57(1)]

S. 56 : Income from other sources-Assessee’s plant at pre-operation stage, interest accruing on fixed deposits after business set up, deposits linked with projects would not alter character of income after business set up. [S. 28(i)]

S. 56 : Income from other sources-Share premium-Valuation of shares-Share premium reflected in balance-sheet-Figures reflected in books of account or in balance-sheet prepared in accordance with Companies Act, 1956-AO does not have power to disturb-Share premium to be included in “reserves and surplus”-AO under “liability approach” ignoring share premium in balance-sheet under “reserve and surplus”-Under “asset approach”, treating share premium as liability-Both workings flawed-Net asset value method adopted by assessee recognised method-Taxation of share premium u/s. 56(2)(viib) of the Act is only by way of deeming fiction.-Addition unsustainable: [S. 56(2)(viib),Rule ,11UA]

S. 56 : Income from other sources-Redevelopment-Rent-Alternative accommodation-Rent Received from builders on account of redevelopment for alternate accommodation-Hardship allowance-Not taxable as income from other sources.[S. 4]

S. 56 : Income from other sources-Capital gains-Income from house property-lease agreement-Forfeiture of part of advance rent received-No extinguishment of rights as the right to the rent-Neither assessable as capital gain nor income from house property-Assessable as income from other sources. [S. 22,45]

S. 56 : Income from other sources-Stamp valuation-Circle rate-Unexplained investments-Purchase was done at circle rate-Reference to valuation officer is not valid-Addition is deleted [S. 56(2) (vii),69]

S. 56 : Income from other sources-Share premium-Discounted cash flow method (DCF)-Not justified in rejecting the method followed by the assessee-Matter remanded. [S. 56(2) (viib), R. 11 UA]

S. 56 : Income from other sources-Share application-Date of allotment-Provision can be invoked on the date of allotment and not on the date of share application-The Assessing Officer can refuse method of valuation after proving that methodology resorted by assessee is incorrect or not as per standards laid down. [S. 56(2)(viib), R. 11UA(2)]