S. 143(3): Assessment-Service of notice-Writ-Territorial jurisdiction of High Court-Place of business and registered office vis-a-vis service of notice-Notice is served on the assessee, whose registered office is within the territorial jurisdiction of this Court, and who has received the notice at Mumbai-Part of the cause of action, in terms of cl. (2) of Art. 226 of the Constitution of India, has arisen within the territorial jurisdiction of this Court, which, entitles the assessee to approach this Court invoking its jurisdiction under Art. 226 of the Constitution, with a grievance of breach of its legal and constitutional rights. [Art. 226]

S. 127 : Power to transfer cases-Search and Seizure-Opportunity of being heard-Coordinated investigation-Transfer from Coimbatore to Kolkata-Transfer is valid.[Art. 226]

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Selection of comparable-Software development services and sale of software products-Cannot be comparable-Employee cost filter-Matter remanded to the Tribunal.[S. 92CA(3), 254(1), 260A]

S. 80IA : Industrial undertakings-Enterprises engaged in infrastructure development-Tribunal is right in coming to the conclusion that the permission obtained from the customs authority by the assessee vide a letter dt. 1st Feb., 2013 is deemed to be the approval granted by the competent authority of the Central Government-Entitled to deduction under S. 80IA(4)(i).[S.80IA(4)(i), 260A]

S. 54 : Capital gains-Profit on sale of property used for residence-Capital gains-Temporary structure-Putting together a structure of plywood sheets cannot be construed as constructing a residential house-Inspector had also reported that there was no electricity or water connection on the land and electricity was used by genset-Order of Tribunal rejecting the exemption is affirmed. [S. 45, 260A]

S. 49 : Capital gains-Previous owner-Cost of acquisition-Family settlement-Father acquired a property prior to 1-4-1981 and after his death said property was given to assessee by way of family settlement in 2003-Sale of property in 2007-Computing capital gain, indexed cost of acquisition was to be worked out with reference to 1-4-1981 and not with reference to date on which assessee acquired property by family arrangement, i.e., in 2003.[S. 45, 48]

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Advance from a party against project to be carried out Project could not be implemented and amount is not returned due to financial constraints-Never received any benefit or enjoyed money that it had received as an advance, provisions of section 41(1) would not be applicable.[S.28(iv)]

S. 17(2) : Salary-Perquisite-Employees stock purchase scheme-Lock in period-Shares which are subject to a lock-in stipulation and could not be sold in the open market owing to a complete embargo on the sale of those shares-The FMV could not have been recognized to exceed the face value of the shares. [S. 2(22B), 15, 17(2)(iiia), 260A]

S. 14A : Disallowance of expenditure-Exempt income-Binding precedent-Tribunal is not justified in holding that the judgment of Delhi High Court is not binding upon it-Said conduct of the members of the Tribunal is liable to be condemned-Explanation inserted to section 14A vide Finance Act, 2022 is prospective in nature. [S. 254(1), R.8D]

S. 14A : Disallowance of expenditure-Exempt income-Interest-No exempt income-Income of an assessee has both taxable and non-taxable elements, it would be principle of apportionment of expenditure relating to non-taxable income which would have to be identified for purpose of making disallowance under section 14A-No disallowance can me made-Explanation in S. 14A came to be inserted by virtue of the 2022 Act, w.e.f. 1st April, 2022 will apply in relation to the asst. years. 2022-23 and subsequent assessment years. [S. 260A, R.8D]