S. 90 : Double taxation relief-Agreement or Protocol entered into by Government-Enforceable in courts and Tribunals only after appropriate notification-Most favoured nation-No right to invoke most favoured nation clause when third country with which India has entered into Double Taxation Avoidance Agreement was not yet member of organisation for economic co-operation and development at time of entering into such agreement-Most favoured nation clause comes into effect after notification is issued-DTAA-India-France-Netherlands-Switzerland-Words and Phrases-“Is”-Interpretation-Double taxation Avoidance agreements. [S. 90(1), Art. 73]

S. 45 : Capital gains-Agreement for joint development of land-Giving power of attorney to land owner-No conveyance in year of agreement-No liability to capital gains tax in the year of development agreement.[S. 2(47)]

S. 45 : Capital gains-Land-Joint Development Agreement-Possession of land only for purposes of development-No transfer of land in 2008-Order of Tribunal is reversed. [S. 2(47)(v), Transfer of Property Act, 1882, S. 53A]

S. 37(1) : Business expenditure-Capital or revenue-Premature Termination of advertisement and agency sales agreement-Revenue expenditure-Non-compete fee-Restrictive covenant-Capital expenditure-Intangible asset-Entitle to claim depreciation. [S. 28(va), 32]

S. 37(1) : Business expenditure-Capital or revenue-Licence-Capital asset-Amortisation of expenditure-Licence to operate telecommunication services-One-time entry fee and licence fee based on percentage of annual gross revenue earned-Both payments capital in nature and to be amortised-Intangible asset capital in nature.[S. 35ABB, The Telegraph Act, 1885, S, 4(1), 8, 20, 20A and 21]

S. 32 : Depreciation-Additional depreciation-Order of Tribunal is affirmed. [S. 32(1)(iia)]

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Indian firm sub-contracting work to firm in Philippines-No permanent establishment in India-Not liable to deduct tax at source. DTAA-India-Philippines. [S. 195, Art. 7(1), 23]

S. 4 : Charge of income-tax-Diversion of income by overriding title-State Government undertaking entrusted with Government funds-The income never reached the assessee and was diverted at source by an overriding title-Addition is not valid. [S. 145]

S. 2(22)(e) : Deemed dividend-Shareholder-Advances to share holder-Portuguese Civil Code-Companies Act-Concept of common ownership of assets by spouses under Portuguese Civil Code is not applicable-Order of Tribunal affirming the addition is affirmed. [S. 260A, Companies Act, 1956, 150, 152A, Portuguese Civil Code 1867]

Interpretation of taxing statutes.

S. 90 : Interpretation- Double taxation avoidance agreements – Most favoured nation-DTAA – India – France — Netherlands- Switzerland . [ S.90(1) , Art. 73 ]