S. 68 : Cash credits – Journal entry – Share application money — Cheques neither presented nor encashed in accounting year- Addition cannot be made .

S.68: Cash Credits — Unsecured Loans —Banking channels- Subsequently adjusted against booking of flat – Addition is held to be not valid .

S.68: Cash credits — Circuitous cash deposits – Three bank accounts – Salaried employee- Addition was confirmed to the extent of Rs 7 ,38 ,000 ]

S. 56: Income from other sources – Income from house property —Lease —Assets – Assessable as income from other sources [ S.22, 24(a) , 56(2) (iii) ]

S. 54 : Capital gains – Profit on sale of property used for residence –
Cost of improvement — Not able to establish – Indexation denied [ S.45 , 48 ]

S. 54 : Capital gains – Profit on sale of property used for residence –
Depositing gains in capital gains accounts scheme before due date for filing return under Section 139(4) of the Act and purchasing new house within two years of transfer -Mere non-compliance with procedural requirement- Denial of exemption is not justified [ S.45 , 54(2) , 54F , 139(1) , 139(2) ]

S. 50C : Capital gains – Full value of consideration – Stamp valuation
Transfer of litigated property — Directed to compute capital gains based on actual sale consideration received – Not established that the property was acquired – Denial of exemption is justified [ S.54F ]

S.43B: Deductions on actual payment – Provident Fund and Employees’ State Insurance Contribution —Making contribution before due date for filing return- Allowable as deduction.[ S.36(1)(va) ]

S. 40A(2): Expenses or payments not deductible – Excessive or unreasonable – Transfer pricing – Royalty – Transfer pricing provision is specific provision – Assessing Officer was required to compare the royalty expenses paid in the case of the similar products by other companies during the relevant period- Disallowance is held to be not valid [ S.92C ].

S. 40(a)(ii) : Amounts not deductible – Rates or tax – Education cess and higher and secondary education cess — No disallowance can be made .[ S.147 , 148 ]