S. 80IA : Industrial undertakings-Infrastructure development-Interest income from employees on advances-Equipment hire charges-Ammonia tank wagon hire charges-Cane hire charges-interest income from banks and financial institutions-Interest on deposits-Not derived from industrial undertaking-Not eligible for deduction. [S. 28(i), 32AB, 56]
S. 68 : Cash credits-Loans-Information from Investigation wing-Bogus accommodation entries-Statement was recorded and affidavits filed-Opportunity of cross examination was not granted-Merely on the basis of information from Investigation wing addition is not justified-Order of Tribunal affirmed. [S. 131, 133(6), 153A, 260A]
S. 68 : Cash credits-Capital gains-Penny stock-Shell company-Shares held as investments for more than ten years-Addition as cash credit was deleted. [S. 45]
S. 45 : Capital gains-Two separate accounts-Investment portfolio-Stock in trade-Sale of investments assessable as capital gains and not as business income. [S. 28(i)]
S. 43B : Deductions on actual payment-Employees’ contribution towards provident fund and ESI would qualify for deduction even if paid after due date prescribed but before due date of filing of return.-Amendment is prospective in nature. [S. 36(1)(va)]
S. 40(a)(ia) : Amounts not deductible-Deduction at source-Commission, brokerage, etc.-Passenger service fee-Withheld by Airlines-Not liable to deduct tax at source-Verify factual aspect, matter was restored to the file of the Assessing Officer. [S. 194H]
S. 37(1) : Business expenditure-Consumption incentive-Ascertained liability-Provision-Allowable as deduction. [S. 145]
S. 37(1): Business expenditure-Loss on investment in subsidiary-Expansion of business-Permanent diminution in value of investment made in equity shares-Allowable as business expenditure. [S. 28(i), 36(1)(vii]
S. 37(1) : Business expenditure-Donation of amount to BDC for construction of ring road-Allowable as business expenditure.
S. 37(1) : Business expenditure-Cancellation of joint venture agreement-Compensation paid-Nexus between cancellation of JDA and execution of construction agreement-Allowable as deduction.