S. 37(1) : Business expenditure-Capital or revenue tests-Rubber plantation-Amount spent on upkeep and maintenance of mature rubber trees-Allowable as revenue expenditure-Cost of replacement of dead and useless rubber trees deductible as replacement cost [R. 7A(2)].

S. 37(1) : Business expenditure-loss on forward contracts for foreign exchange-Transactions to hedge against risk of foreign exchange fluctuations-loss not speculative and to be allowed. [S. 28(i), 43(5)]

S. 37(1) : Business expenditure-Donation given for public welfare of construction of ring road-Allowable expenditure.

S. 37(1) : Business expenditure-Corporate Social Responsibility-Expenses of public sector company-Allowable as deduction.

S. 14A : Disallowance of expenditure-Exempt income-Disallowance of expenditure on basis that some deployment of manpower for managing investment cannot be ruled out-Tribunal reducing the disallowance on ad hoc basis-No question of law [R.8D]

S. 4 : Charge of income-tax-Capital or revenue Receipt-Preoperative expenditure pending capitalization-Interest Earned from fixed deposits of unutilised foreign external commercial borrowing loans during period of construction-Interest capitalised in the books of account-Capital receipt. [S. 28(i), 56, 145]

S. 4 : Charge of income-tax-Capital or revenue-Race Club-Membership fees received from members-Capital receipt. [S. 28((i), 260A]

Interpretation of taxing statutes — Precedent – Ratio of judgments relating to one tax enactment not to be treated as precedent in case relating to another tax enactment — Especially when language, object and purpose of enactments are different.[ Interest-tax Act, 1974, S. 2(5A), 2(5B), 2(7) ]

Interest-tax Act, 1974

S. 2(7): Interest – Credit institution – Financial company – State Financial corporation – Non-Banking Financial Companies , Hire -purchase agreements – Loans and advances – Not liable to pay Interest-Tax on interest component imbedded in hire-purchase instalment – Order of High Court remanding the matter was set aside – Interpretation of taxing statute- Precedent . [ S. 2(5A), 2(5B), 2(7) , Income -Tax Act , 1961 , 260A Companies Act , 1956 , S 4A, State Financial Corporation Act, 1951 , S. 3, 3A , Motor Vehicles Act, 1988, S. 51]

Direct Tax Vivad Se Vshwas Act, 2020

S. 4: Declaration – Delay in payment of tax – Condonation of delay – Object of legislation beneficial and to reduce litigation — Rejection of belated declarations filed due to death of director of assessee – Delay in payment of disputed amount — Delay was condoned – Directed to treat declaration as valid and accept the payment with interest- Interpretation of statutes -Beneficial legislation – Liberal interpretation . [ S. 5, 10(2), 67(2), Art , 226 ]