S. 245D: Settlement Commission-Settlement of cases-True and full disclosure-High Court set aside order of Single Judge interfering with Settlement Commission order-Once ITSC was satisfied about true and full disclosure and had proceeded beyond stage of s. 245D(2C), writ court cannot re-appreciate sufficiency of material or interpretation of seized documents-Alleged calculation error could be brought before appropriate authority for correction. [S. 245C, 245D(2C), 245D(4), Art. 226]

S. 159 : Legal representatives – Return – Condonation of delay – Executor of will is covered within expression “legal representative” and is liable to be assessed in respect of income of deceased – Delay in filing return directed to be condoned. [S. 2(29), 119(2)(b), 139, 159, Code of Civil Procedure, 1908, S. 2(11), Art. 226]

S. 153C : Assessment-Income of any other person-Search-Seized documents relating to cash payments for land purchase pertaining to earlier year-No incriminating material having bearing on income of relevant assessment years-Notice and proceedings held invalid and quashed.[S.132A, 153A, Art. 226]

S. 153 : Assessment-Limitation-Proceedings under s. 144C-Whether time consumed in DRP procedure is to be included within limitation prescribed under S. 153-Divergent judicial views-Issue relating to applicability of twelve-month limitation under S. 153(3) even in DRP cases and determination of maximum permissible period for completion of assessment referred to Larger Bench. [S. 144C, 153(3)]

S. 149 : Reassessment-Time limit for notice-Finding or direction in appeal-S. 150 cannot be invoked to revive time-barred reassessment proceedings-Notice issued beyond limitation invalid. [S. 148, 148A(d), 150, Art. 226]

S. 119: Central Board of Direct Taxes-Circular-Return-Condonation of delay-Belated filing of Form 10-IC-Genuine hardship-Filing of Form 10-IC prior to filing of return not mandatory-Delay is to be condoned where substantial justice warrants relief.[S. 115BAA, 119(2)(b), Art. 226]

S. 92C : Transfer pricing-Arm’s length price-MAP settlement under India-USA DTAA applicable only to transactions covered under MAP-ALP of non-US transactions cannot be determined on basis of MAP framework-ALP to be independently determined under Act and Rules-DTAA-India-USA [S.92CA, R.10B, Art. 27]

S. 56 : Income from other sources-Issue of shares at premium-Valuation of unquoted shares-DCF method-FMV determined on basis of expert valuation report cannot be rejected merely due to general disclaimers-Valuation under DCF method permissible under Rule 11UA-Assessee’s substantiated valuation to be accepted-Order of Tribunal affirmed. [S. 56(2)(viib), R. 11UA]

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Short deduction-Disallowance cannot be made for short deduction of tax at source. [S. 194C, 194J]

S. 37(1) : Business expenditure-Bad debt-Advances given in the course of business written off-Genuineness of advances not doubted-Books audited by statutory auditors-Write-off allowable as deduction-Order of Tribunal affirmed. [S. 28(i), 36(1)(vii), 260A]