S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Data access/link charges from its Indian subsidiary was neither for scientific work nor any patent, trademark, design, plan or secret formula or process, thus, it could not be held to be royalty-Copyrighted/shrink-wrapped software, which could not be treated as consideration for transfer of any copyright, thus, same could not be treated as royalty-Professional and consultancy services provided by assessee, a USA based company to an Indian company, did not ‘make available’ any technical knowledge, experience, skill, know-how or process or consist of any development and transfer of any design, receipt on account of said services was not taxable as fee for included services-DTAA-India-USA [Art. 12 (4)].

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Earning from branch offices in UAE and Qatar are to be included in assessee’s taxable income in India-DTAA-India-Qatar. [S. 90(3), 297(2)(k), Art. 7]

S. 5 : Scope of total income-Transfer of development rights-Joint venture agreement-Partial payment as advance-Failure to perform obligation-Not assessable as income. [S. 145]

S. 2(22)(e) : Deemed dividend-Loans and advances-Commercial transactions-Addition cannot be made as deemed dividend.

S. 271G : Penalty-Documents-International transaction-Transfer pricing-TPO accepted benchmarking under TNMM-Levy of penalty is held to be not justified. [S.92D]

S. 271B : Penalty-Failure to get accounts audited-Vague notice-Failure mention specific charge-Levy of penalty is held to be not valid-Delay in filing tax audit report-Reasonable cause-Levy of penalty is held to be not justified. [S.273B]

S. 271(1)(c) : Penalty-Concealment-Estimate of income-Satisfaction-8% of contractual receipts-Levy of penalty is held to be not justified.

S. 268A : Appeal-Monetary limit-Penalty-Appeal of revenue is dismissed [S. 271(1)(c)]

S. 263 : Commissioner-Revision of orders prejudicial to revenue-Construction and service contracts-Percentage completion-Project completion method-Cannot be declared as invalid-Provisions of section 43CB prescribing percentage completion method for determining profits and gains of a construction company are to be applied mandatorily with effect from 01-04-2017 i.e. assessment year 2017-18 onwards-Revision is held to be not valid. [S. 43CA, 145]

S. 263 : Commissioner-Revision of orders prejudicial to revenue-Cash credit-Assessing the deposits as undisclosed turnover and estimating income at 4% of turnover-Only probability and likelihood to find error in assessment order is not permitted-Revision is held to be not valid-When undisclosed amount of assessee in his bank account as undisclosed business receipts/turnover provision of 115BBE would not attract. [S. 68, 115BBE]