S. 92C : Transfer pricing – Arm’s length price – Royalty paid was already forming part of operating cost, there is no necessity of separately benchmarking royalty.-Matter remanded to Tribunal ]

S.68: Cash credits- Loan from relative- Cash deposit in to Bank account- Cash deposited from sale of property – Failure to produce sale deed- Cash was deposited even before date of alleged sale agreement- Addition is held to be justified

S. 10 (23C): Educational institution-Disproportionate fee structure -Maximum money for purpose of expansion of institution-Matter remanded to decide the issue after considering the ratio in American Hotel & Lodging Association Institute v CBDT ( 2008) 301 ITR 86 (SC) and Queen’s Educational Society v CIT( 2015) 372 ITR 699 ( SC) .[ S.10(23C)(vi)]

S. 9(1)(i): Income deemed to accrue or arise in India – Business connection -Front-end fee payable by a customer in India, for appraisal of loan application carried out outside India, under financing arrangement with Applicant is not taxable as income from ‘interest’ and said fee is also not taxable as fee for technical services (FTS) under as they do not pass ‘make available’ test- Not liable to deduct tax at source – DTAA India- France [S.195 , Art 12 , 13 ]

S. 2(22)(e):Deemed dividend-Current account- Advance to share holder – Transactions between shareholder and company were in nature of current account addition cannot be made as deemed dividend .

S.260A: Appeal –High Court – Representation by departmental advocates -Court observed that it is appropriate to suggest to CBDT to consider holding of a training programme, where leading advocates could address domain-expert on ethics, obligation and standard expected of advocates before they start representing State, as it would ensure that revenue is properly represented to serve greater cause of justice and fair play –It is primary duty of Assessing Officer to upgrade Counsel with regard to all facts involved in matter, more particularly facts which may have transpired after passing of impugned order of Tribunal so as to avoid unnecessary delays in disposing of cases pending before Court. The ASG and the Registry is directed to forward a copy of this order to the Chairman, CBDT. The ASG is expected to interact and advice the CBDT in respect of the issues referred to herein above to enable proper representation by the advocates on behalf of the revenue- Matter remanded . [ S.119 ]

S. 254(1) : Appellate Tribunal – Orders- Ex-parte order-Tribunal has to dispose of an appeal on merits irrespective of whether appellant appears or not, in view of Rules 24 and 25 of the ITAT Rules, 1963 .[ITAT, R. 24, 25 ]

S. 225 : Collection and recovery – Stay of proceedings- Disallowance of expenditure has to be determined having regard to object of provision and not on the basis of whether anybody else is also being levied same fee or charge- Directed to pay 20% of tax in dispute with in six weeks from the order . [ S.40(a)(iib) ]

S.147: Reassessment- Reference to full Bench-Non-disclosure of primary facts –Reason to believe -Explanation 3 –Different interpretations by High Courts- Following issue framed for reference to the Full Bench i.e. “ whether the view expressed in the case of Ranbaxy Laboratories Ltd. v. CIT ( 2011) 336 ITR 136( Delhi)(HC) following in CIT Jet Airways (I) Ltd (2011) 331 ITR 236( Bom) (HC) and followed later in CIT v. Monarch Educational Society (2016 ) 387 ITR 416 ( Delhi) (HC) with respect to the interpretation of Section 147 read with Explanation (3) of the Act , is restrictive , so as to sustain only additions made in the course of reassessment proceedings subject to the additions adverted to in the reassessment notice in the “ reason to believe “ under section 147/148 of the Act and notice pursuant thereof “ ? [S.148 ]

S. 68 : Cash credits -Only on the ground that loan was not found to be reflected in balance sheet of donor addition cannot be made as cash credit. Assessee had demonstrated genuineness of transaction as well as reliability and creditworthiness of donor, said addition was unjustified.