S. 44B : Shipping business-Non-residents-Service tax receipts do not form part of receipts for computation of income.

S. 44AD : Presumptive taxation-Civil construction business-depreciation-Rejection of books of account and estimate of income applying rate of 8 percent-No separate claim of depreciation is allowable. [S. 32, 144]

S. 43B : Deductions on actual payment-Service tax payment-For granting deduction only when amount of such tax, etc., is actually paid by assessee, that deduction will be allowed. [S. 43B(a), 145A(ii)]

S. 43(6) : Written down value-Demerger-Accounted by both entities on written down value-Entitle to depreciation on written down value. [S. 32]

S. 40A(2) : Expenses or payments not deductible-Excessive or unreasonable-Salary paid to daughter of Director-Disallowance is held to be not justified.

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Interest to an NBFC-Certificate was produced before CIT(A)-Matter was remitted to file of Assessing Officer to examine and verify said certificate. [S. 194A, 201(1)]

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident attorneys-Professional fees-Reimbursement of expenses-No obligation to deduct tax at source-Disallowance was deleted-Article 12 of the OECD Model Convention. [S. 9(1)(vii), 195]

S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Fes for technical services-Sales commission to foreign agents-Permanent Establishment (PE) in India-Not liable to deduct tax at source-OECD Model Convention Arts, 5, 7, 12-DTAA-India-Australia. [S. 9(1)(i), 9(1)(vii), 195, Art. 7]

S. 37(1) : Business expenditure-CSR expenses-Welfare of local community and thereby improving corporate image-Allowable as business expenditure-Expenditure incurred towards Pooja and purchase and distribution of sweets for Pooja was allowable as business expenditure.

S. 37(1) : Business expenditure-Provision for warranty-Replacement of batteries-Allowable as deduction-Sales promotion expenses-Expenditure for giving valuable gifts to certain parties-Disallowance cannot be made on ad-hoc basis-Travelling expenses of partner for personal trip-Not allowable as business expenditure. [S. 145]