S. 145 : Method of accounting-Completed contract method-Accepted in earlier years-Method cannot be substituted by the percentage competition method

S. 144 : Best judgment assessment-Estimation of gross profit-Sluggish economic conditions-CIT(A) accepting the gross profit declared by the assessee-No business could have a minimum threshold gross profit every year just to satisfy the whims of the Assessing Officer-Held to be proper. [S. 145(3)]

S. 143(3) : Assessment-Income from undisclosed sources-Cash and cheque deposits in bank accounts-Transactions carried out on behalf of others-Entire deposit cannot be assessed as income from undisclosed sources-Profit element is estimated at 20 per. Cent. [S. 133A]

S. 143(3) : Assessment-Trader in Iron and steel-Sales not doubted-Profit element is estimated at 5 % of such purchases.

S. 143(3) : Assessment-Income from undisclosed source-Firm-Deposit of money in partner’s capital account-Explained the source-Addition cannot be made as undisclosed income of the firm-Cash deposited in the bank account of concern was accepted as genuine-Assessee received the payment by banking channels-Addition cannot be made as undisclosed income of the firm. [S. 69]

S. 115JB : Book Profits-Central warehousing Corporation-No Notification exempting from requirements of Schedule VI to Companies Act, 1956-Provision for payment of gratuity, bad and doubtful debts, Payment of wealth-tax, leave encashment and productivity linked incentives-Assessing Officer to verify claim of actuarial valuation and other documentary evidence to substantiate that liabilities were ascertained liabilities [S. 37(1), Companies Act, 1956, S. 211(3), Sch. VI].

S. 115BBE : Tax on specified income-Income from undisclosed income-Setting off any loss-Restrictions applicable prospectively with effect from 1-4-2017. [S. 68, 69, 69A, 69B, 69C]

S. 115BB : Winning from lotteries-Irrespective of the head of the income, the winnings from lotteries shall be taxed at a special rate-The business loss incurred by the assesse after exclusion of prize money earned from the unsold lottery tickets is eligible for set off against such winnings from lotteries. [S. 2(24)(ix), 28(i), 56(2)(ib), 58(4), 71]

S. 92CA : Reference to transfer pricing officer-Time-Limit for to pass order-Sixty days to be computed excluding last date for passing order-Order passed beyond limitation period of 60 days-Order is bad in law-Appellate Tribunal has the power to admit the additional ground raised as to jurisdiction. [S. 92CA(3), 143(3), 153, 254(1)]

S. 92C : Transfer pricing-Arms’ length price-safe harbour rules are optional for an eligible assessee-assessee has not exercised option for the safe harbour rules-entire set of rules from 10TA to 10TG cannot be operationalised. (ITR, 10B(1)€ & 10 TA)