S. 9(1)(v) : Income deemed to accrue or arise in India-Interest-Transactions with Head Office-Paid by Indian branch of foreign bank to Head Office-Constitute a single entity-Neither deductible nor chargeable to tax-DTAA-India-Singapore. [Art. 7]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Permanent Establishment-Agency PE-Computer information system (CRS)-Computer, electronic hardware / software and connectivity is provided through third party nodes located in India-Constitute PE of and income arising from airlines and travel agents is attributable to activities of PE in India and taxable in India-Income attributable to assessee’s PE in India was to be determined at 15 per cent instead of 75 per cent as determined by AO.-Royalties / Fees for technical services-CRS and ARS was installed at airport which could be accessed only by airlines, payments made in relation to ARS could not be characterised as royalty either under section 9 or under India-Spain DTAA-DTAA-India-Spain. [S. 9(1)(vi), 9(1)(vii), Art. 5, 13]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Brokerage income from NRRs and did not work wholly and exclusively for co-broker, assessee was not dependent agent permanent establishment of said co-broker in India-Not dependent agent permanent establishment of said co-broker in India-DTAA-India-Singapore. [S. 195, Art. 5, 7]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Dubai branch-Referral fee-Swiss company received fee from an Indian company for referring an Indian resident client for bringing out issue of convertible bonds-Fee is in nature of commission to be taxed as business income and not as fees for technical services-Fee not attributable PE in India the same is not taxable in India-DTAA-India-Switzerland. [S. 9(1)(vii), Art. 7, 12]

S. 5 : Scope of total income-Resident in India-Long term capital gains-Shares held in UAE based company-Taxable as per the provisions of Indian Income-tax and not as per article 13 of DTAA-DTAA-India-UAE. [S. 6(1), 9(1), Art. 13]

S. 2(22)(e) : Deemed dividend-Fixed deposit-Fiduciary capacity-Protect the interest of company-Addition cannot be made as deemed dividend.

S. 2(22)(e) : Deemed dividend-Not a share holder of holding company-Not taxable as deemed dividend irrespective of their common shareholders.

S. 279 : Offences and prosecutions – Sanction – Chief Commissioner – Commissioner – Application for compounding of offence – Rejected on the ground of limitation and the fact that assessee was already convicted by Magistrate – Conviction order set aside by CBI Judge and directed a fresh trial – High Court sets aside rejection of compounding application as (i) CBDT Circular had relaxed time limit to file a such application and (ii) second objection no longer survives as the conviction set aside – Revenue to consider the application seeking compounding on its own merit and in accordance with law [ S. 119 , 276CC, 278E, Art , 226 , CRPC , 391 ]