S. 68 : Cash credits–Share application money–AO has not conducted any enquiry–Addition on surmises is held to be not justified.

S. 68 : Cash credits–Un explained cas h sales of Rs .3.12 crores only one month–Not explained satisfactorily–Addition is held to be justified.

S. 68 : Cash credits–Trade advances-Adjusted against sales made in subsequent years-Deletion of addition is held to be justified.

S. 54 : Capital gains – Profit on sale of property used for residence- Consideration that arose in hands of HUF on sale of capital asset had been invested for purchase of new residential house in name of some of its members instead of assessee (HUF)-Entitle to exemption. [S. 45]

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability–Banking business-Amount transferred to statutory reserve out of carried forward account of provision for expenses was treated as taxable. [S. 80P(2)]

S. 37(1) : Business expenditure–Business of developing, maintaining and operating of Bus-Q-Shelters (BQS), metro stations, highways etc.–Encashment of bank guarantee–Allowable as business expenditure.

S. 37(1) : Business expenditure–Pendency of constitutional validity of proviso to Rule 9A- Matter remanded to CIT(A) to decide on merits. [R. 9A]

S. 36(1)(iii) : Interest on borrowed capital-loan was used for acquiring or construction of assets that were used for earning taxable income- Interest expenditure is held to be allowable.

S. 32 : Depreciation–Public roads treated as building and allowed depreciation-Optical fibres used exclusively for computer configuration were part of computer system and thus eligible for higher rate of depreciation.

S. 28(i) : Business income-Income from house property- Construction of shopping malls-Commercially exploit property by way of complex commercial activities and, it was not a case of letting out property simplicitor-Rental income is assessable as business income. [S. 22]