S. 45 : Capital gains-Transfer of land owned by partnership firm to its partners-Transferred at cost by book entry-Adjusted against capital balance of partner-Not taxable as capital gains. [S. 2(47)]

S. 43(5) : Speculative transaction-Forward exchange contract-Loss on cancellation is held to be non speculative in nature.

S. 40A(2) : Expenses or payments not deductible-Excessive or unreasonable-Salaries paid to director cannot be disallowed on the ground that salaries paid in earlier year was less than the relevant year-Burden is on revenue to demonstrate that the remuneration is excessive as per market rate-Disallowance is deleted.

S. 37(1) : Business expenditure-Non-Compete fees paid to retiring partner-Allowable as revenue expenditure.

S. 37(1) : Business expenditure-Capital or revenue-Project cost-Pending capitalisation-Written off-Allowable as revenue expenditure.

S. 14A : Disallowance of expenditure-Exempt income-Amendment to section 14A by inserting explanation (Amended vide Finance Act, 2022) is applicable prospectively from AY. 2022-23 and not applicable to AY. 2013-14. [R. 8D]

S. 12A : Registration-Trust or institution-Lease transactions-Business income-Lease agreement for 50 Years-Violation of Maharashtra Stamp Act, 1958 and Maharashtra Public Trust Act, 1950-Denial of registration is affirmed. [S.12AA(1), Maharashtra Public Trust Act, 1950, S. 36(IA), Maharashtra Stamp Act, 1958, Registration Act, 1908, S. 17]

S. 2(31) : Person-Association of person-Characterization of consortium-Agreement-Terms of the agreement will be the deciding factors-Taxable as an AOP and not as individual members.

S. 68 : Cash credits – Cash deposit – Demoetizaation- Sales – Produced names , address , PAN etc- Parties have responded to the notices u/s 133(6)- Sales are accepted by VAT department – No defects in the books of account – Order of CIT(A) deleting the addition is affirmed .[ S.133(6), 143(3) ]