S. 68 : Cash credits–Capital gains-Share transactions–Assessee has discharged the onus cast upon him-AO is directed to accept the long term capital gain declared by the assessee. [S. 45]

S. 68 : Cash credits-Bogus sales–Purchase and sales accepted as recorded in the books of account–Books of accounts not rejected-Statement of third party was neither provided nor opportunity of cross examination-Addition by applying the GP rate of 8.8% on sales is directed to be deleted. [S. 44AB, 145]

S. 64 : Clubbing of income–Set-off of business loss of the wife in the assessment of husband-Entire amount of loss resulting from the business started by wife with the gifts received from her husband is liable to be clubbed in the hands of the assessee. [S. 64(1) (iv)]

S. 55 : Capital gains-Cost of acquisition–Justified in claiming capital loss by taking as cost of acquisition of shares–On the next working day–AO has wrongly adopted the weighted average price of next day. [S. 45, 55(2)(ac), 115AD]

S. 43CA : Transfer of assets-other than capital assets-Full value of consideration-stock in trade-Percentage completion method adopted-Stamp valuation-Free cost to tenant – Addition on the basis of stamp valuation is up held-Difference between the value adopted by the stamp valuation authority and the actual sale consideration was less than 15%,-Addition is held to be justified-Amendment is only with effect from 1-04-2019. [S. 50C]

S. 43(5) : Speculative transaction–Hedge-Export business-Foreign currency derivate contracts are speculative in nature and loss arising out of the same has to be treated as speculative loss-The AO was directed to restrict the actual loss in lieu of actual export after verification of contract notes, etc. and the assessee was also directed to cooperate with the Department by producing all particulars.

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Income deemed to accrue or arise in India–Royalty–Payment to software–Not liable to deduct tax at source-DTAA-India-France. [S. 195, Art. 5, 12]

S. 40(a)(ia) : Amounts not deductible-Deduction at source–Commission paid to the foreign agents–Service rendered outside India–Not liable to deduct tax at source. [S. 9(1)(vii), 195]

S. 40(a)(ia) : Amounts not deductible-Deduction at source– Labour charges–Failure to deduct tax at source-As per amendment brought to Finance Act, 2014 in s. 40(a)(ia) w.e.f. 01.04 2015, disallowance is restricted to 30% of amount of expenditure claimed-Amendment is applicable to retrospective effect. [S. 194C, 194H]

S. 40(a)(i) : Amounts not deductible–Deduction at source-Royalty-Fees for technical services-Not liable to deduct tax at source on referral fee paid to the foreign concern as the same did not fall within the realm of “Fees for included services” and there was no Permanent Establishment of the said foreign concern in India-No disallowance can be made-DTAA-India-USA. [S. 9(1)(vii), 90(2), Art. 7, 12]