S. 251 : Appeal-Commissioner (Appeals)-Powers-Power to enhance income-Capital gains as business income-Failure to issue show cause before enhancement-Enhancement is not valid-Treatment of lease rent as business income is not sustainable. [S. 28(i), 45, 251 (2)]

S. 244A : Refunds-Interest on refunds-Offered to tax in year of receipt-Could not be taxed in year of accrual. [S. 5]

S. 153C : Assessment-Income of any other person-Search-Educational Institution-Unaccounted capitation fees-Statements of persons relied upon who are not holding any important post or having any authority in College or Trust Students denied making payment of capitation fees-Assessment has to be made based on evidence and not on suspicion and conjectures-Order of CIT(A) deleting the addition is affirmed.[S.69C, 132]

S. 153A : Assessment-Search-Cash credits-Return processed under section 143(1)-Share application money-Information available before the date of search-No incriminating material-Assessment is bad in law-Statement recorded by Investigation Agencies-Opportunity of cross examination. is not given-Assessments not sustainable-Share application moneys-Merger-Amalgamation-No inquiry could be made in hands of assessees Qua antecedents of merged companies-Additions are not sustainable. [S. 68, 143(1), 143(2)]

S. 153A : Assessment-Search-Original assessments completed prior to date of search-No incriminating material is found-Assessment is bad in law.[S.36(1)(iii), 143(3)]

S. 153A : Assessment-Search-Statements of key person and documents found during search-Not constituting incriminating material-Additions made on presumptions and conjectures-Deleted-Undisclosed source-Estimation of profit-Unrecorded sales-No infirmity in books of account-Addition on account of.

S. 145 : Method of accounting-Percentage completion method-Matter remanded.

S. 145 : Method of accounting-Mercantile system of accounting-Customs duty drawback-Refund-Income-Accrual-Accrues when assessee gets right to receive it-When it is sanctioned to assessee by Customs Authorities-Not in year when assessee makes claim. [S. 4, 5, 37(1).]

S. 144 : Best judgment assessment-Business expenditure-Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Capacity Utilisation Adjustment-Matter remanded to the Assessing Officer. [S.92C]

S. 143(3) : Assessment-Addition of excess of gross profits As Reconciliation statement-Deletion of addition is affirmed.[S.28(i)]