S. 69: Unexplained investments-Income from undisclosed sources-Survey-Investment in immovable property-AO was right in bringing the undisclosed income to tax under the special provisions of S. 69 and thereafter levying tax under the provisions of S. 115BBE.[S.69B, 115BBE, 292B]
S. 68: Cash credits-Share transactions-Capital gains-Cannot be assessed as sham transaction-Addition was deleted. [S. 10(38,45]
S. 56: Income from other sources-Difference between the stamp duty value as on the date of agreement and the agreement value of the flats-Reference to DVO-Issue is restored to the AO for de novo adjudication after seeking a valuation report from the DVO as per the provisions of the Act. [S.50C(2), 56(2)(vii)(b)]
S. 56: Income from other sources-Shares purchased for trading purposes-Stock in trade-Shares purchased for trading purposes, provisions of section 56(2)(viia) cannot be applied. [S. 562(viia)]
S.54F: Capital gains-Investment in a residential house-Purchase of house property-Execution of sale deed beyond the specified period-MoU on 21st Aug., 2015-Entitled to exemption. [S. 45]
S. 40(a)(i): Amounts not deductible-Deduction at source-Non-resident-Payment of freight charges to foreign shipping companies-Disallowance was affirmed.[S. 5(2), 195]
S. 37(1): Business expenditure-State tax paid in USA-Not claimed any benefit of the tax paid in the USA under the provisions of S. 90/91-State tax paid in USA is allowable as deduction.
S.37(1): Business expenditure-Advertisement material and goods-Purchase of icebox and plastic tables and chairs, bearing the logo-Allowable as business expenditure.
S.37(1): Business expenditure-Foreign exchange fluctuation loss-Working capital-Allowable as a deduction. [S. 145, AS-11]
S. 36(1)(iii): Interest on borrowed capital-Percentage of completion method for recognizing the revenue-ICDS IX provisions are not applicable to asst. yr. 2014-15. There is no provision in s. 36(1)(iii) to apportion the interest cost between the work-in-progress and the sales-Interest allowable as deduction.