S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Majority of services technical in nature-Services were ancillary and subsidiary to application or enjoyment of right, property or information for which royalty paid-Chargeable to tax in India-Liable to withhold tax-DTAA-India-USA-Netherlands [S.90, 92 to 92F, 195, Art, 12(5)(a)]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Income will be assessed in the hands of PQR and STU and benefit of article 13 of the India-Netherlands Double Taxation Avoidance Agreement is not admissible to these funds will be assessed in the hands of PQR and STU and benefit of article 13 of the India-Netherlands Double Taxation Avoidance Agreement is not admissible to these funds-DTAA-India-Netherlands. [S. 2(17), 5, 60, 61, 62, 63(a), 160(1)(iv), Art, 13]

S. 4 : Charge of income-tax-Crabon credits-Capital receipts-Not taxable.

S. 234C : Interest – Deferment of advance tax – Tax deductible at source – Income which is subject to such deduction and is taken into account in computing total income of assessee.

S. 74 : Losses – Capital gains – Carried forward losses- Capital losses brought forward from earlier years pertaining to source of income that was exempt from tax was allowed to be carried forward to subsequent years- DTAA- India – Mauritius [ S.9(1)(i), 74(1)(a), 90(2) ,144C(5),Art . 13 ]

S. 271AAA : Penalty-Addition made on ad-hoc basis based on average gross profit rate, which does not relate directly to any undisclosed income unearthed during search-Penalty not sustainable. [S. 132, 133A]

S. 271(1)(c) : Penalty-Addition on basis of which penalty levied deleted.

S. 263 : Commissioner-Revision of orders prejudicial to revenue-limited scrutiny-No jurisdiction to go beyond reason for which the case was selected for limited scrutiny-Revision to consider other aspects is held to be without jurisdiction. [S. 143(3)]

S. 263 : Commissioner-Revision of orders prejudicial to revenue-On the date of transfer more than one residential house-Deduction allowed without verification-Revision order was set aside and directed the AO to pass the order in accordance with law. [S. 54, 54F]

S. 263 : Commissioner-Revision of orders prejudicial to revenue-Non furnishing of approval-Revision is held to be not valid. [S. 35(2AB), R. 6(7A)(b)]