S. 147 : Reassessment-After the expiry of four years-Information from investigation wing-Alleged deposit of tax-Recording wrong and incorrect reasons-Reassessment is held to be bad in law. [S. 148, 151]

S. 147 : Reassessment-After the expiry of four years-Unexplained investment-Assessment cannot be reopened merely on the basis of Report of District valuation officer-Allegation of escapement of income more than Rs. 1 lakh-Reassessment proceedings valid. [S. 69, 148, 149(1)(b)]

S. 143(3) : Assessment-Income from undisclosed sources-Commission agent-Director admitted that cash seized belong to the company-Sales tax authorities accepted that sales the sales shown by the company-Extracts of cash book certified by the Chartered Accountant was filed-Addition was deleted. [S. 132(4)]

S. 133A : Power of survey-Closing stock-Carry forward and set off-Enhanced value of stock shown in the books of account which was found in the course of survey-Entitle to set off of closing stock. [S. 145]

S. 133A : Power of survey-Income from undisclosed source-Unaccounted professional income-Double addition-Followed order of Settlement Commission-Deletion of addition is held to be justified. [S. 245D(4)]

S. 133A : Power of survey-Undisclosed income-Real Estate business-Income declared in the course of survey-Earlier losses and current year loss can be set off against income disclosed in the course of survey. [S. 28(i), 72]

S. 92C : Transfer pricing-Arm’s length price-Selection of comparable-Consulting business-Companies rendering soft ware services cannot be comparable.

S. 92C : Transfer pricing-Arm’s length price-Advance Pricing Agreement-Order of CIT(A) on the basis of Advance Pricing Agreement is held to be proper.

S. 92C : Transfer pricing-Arm’s length price-Rule of consistency No distinguishing facts in Current year-Addition on account of advertisement, marketing and sales promotion expenses not sustainable. [S. 143(3)]

S. 92C : Transfer pricing-Arm’s length price-Functionally dissimilar companies cannot be taken as comparable-Outstanding receivable-Debt free company-Adjustment made on interest on receivables not sustainable-Appellate Tribunal-Additional ground admitted-Education cess-Allowable as deduction. [S. 37(1), 40(a)(ii)]