S. 43B : Deductions on actual payment-Tax collected at source-Holds custodian of Government-Not disallowable. [S.143(1), 206C(6A)]

S.37(1): Business expenditure-Finance charges-Treated as deferred revenue expenditure or prepaid expenditure in the books of accounts over the period of loan-Allowable as deduction-Bad debt-matter remanded. [S. 36(1)(viia), 145]

S. 32: Depreciation-Actual cost-Grant in aid received from Government-Grant-in-aid basis the scheme is directly attributable to the cost of plant and machinery and technical civil works-Grant-in-aid is therefore, required to be reduced from the value/cost of the assets eligible for depreciation. [S. 32(1)(ii),43(1), Expln 10.]

S. 28(i) : Business loss-Loan to employees-Sundry advances written off is allowable as business loss. [S. 37(1)]

S.14A : Disallowance of expenditure-Exempt income-Interest free funds-Not recorded dissatisfaction-Addition is deleted. [R.8D]

S. 10B: Export oriented undertakings-Non-realisation of export proceeds within six months-CIT(A) has rightly issued directions to allow the assessee’s claim in the year of return after due verification of the facts of return of goods-Provisions for doubtful debts and advances-Not to be added to book profit.[S.115JB]

S. 10A : Free trade zone-Export turnover-Total sales-Deemed exports-Export turnover should constitute at least 75 per cent of the total turnover, although in quantitative terms, the export quantity might be less than 75 per cent of the total sale quantity.[S.10A(2)(ia), Export-Import Policy 1992-97]

S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Global online learning platform-The receipts of the assessee do not qualify as fees for included services under art. 12(4) of India-USA tax treaty-DTAA-India-USA. [S. 144C(13), Art. 12(4)]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Functions as selling and purchasing agent-Because the nature of business of trading is a continuous flow of the business process, that cannot be a foundation to conclude a principal-agent relationship for the purpose of art. 5 of the DTAA-There is no PE of assessee in the form of ITPL-DTAA-India-Japan. [S. 90, Art. 5(6)]

S. 271(1)(c) : Penalty-Concealment-Disallowance of excess brought forward losses pursuant to MAP order-Revised computation filed-Time for filing revised return has expired-Paid additional tax along with interest-Penalty is deleted. [S. 143(2), 139(1), 139(5)]