S. 37(1) : Business expenditure-Repairs of machinery and replacement of some of its parts-Allowable as business expenditure. [S. 32]

S. 36(1)(vii) : Bad debt-Amount written off in the books of account-Allowable as deduction. [S. 36(2)]

S. 36(1)(iii) : Interest on borrowed capital-Borrowed funds used for giving interest free loan to sister concerns-Interest disallowable., interest on funds diverted for non-business purpose was to be disallowed.

S. 36(1)(ii) : Bonus or commission-Salary-Director-Shareholder Directors were given commission for promoting and increasing sale-Part of salary allowable as deduction. [S. 15]

S. 35 : Scientific research-Facility is recognised by prescribed authority, in-house R & D-role of-Assessing Officer is to allow expenditure incurred on in-house R&D facility as weighted deduction-in computing 90 days limitation period as provided under Rule 34(5) for pronouncing order, period of Covid-19 pandemic lockdown was to be excluded. [S.35(2AB, S.255]

S. 28(iv) : Business income-Value of any benefit or perquisites-Converted in to money or not-Premature payment of deferred sales tax at Net Present Value of certain amount against total liability-capital receipt-Not assessable as business income.

S. 28(i) : Business loss-Speculation business-Contract cancellation charges-Part and parcel of regular export business-Loss cannot be disallowed as speculative loss. [S. 73]

S. 28(i) : Business loss-Forfeiture of advance-Allowable as business loss having direct nexus with operation of business and is incidental to business. [S. 36(1)(vii), 36(2)]

S. 28(i) : Business loss-Foreign exchange fluctuation loss-Matter remanded-Bad debt-Advances written off was not allowable as bad debt, same would not ipso facto jeopardize assessee’s claim for deduction of same as business loss-Matter remanded. [S.36(1)(vii), 36(2), 37(1)]

S. 28(i) : Business loss-Commodity derivatives-Suspension of operations by NSEL-Amounts due from brokers-Allowable as business loss. [S. 43(5)(e)]