S. 48 : Capital gains-Computation-Amount paid for removing encumbrance to a property without which sale or transfer could not be effected, is allowable as deduction. [S. 48(1)]

S. 45 : Capital gains-Transfer-Joint development agreement-Neither any consideration received nor handed over possession of immoveable property during relevant assessment year-Not liable too be assessed as capital gain. [S. 2(47)(v), 45(2), Transfer of Property Act, 1882 S. 53A]

S. 45 : Capital gains-Short term-Transfer-Joint Development Agreement (JDA)-Construction of an apartment project-Merely a license for developer to enter property-Provisions of section 53A of Transfer of Property Act and provisions of section 2(47)(v) would not be applicable to JDA-Not liable to capital gains tax-Failure to file JDA agreement-Reassessment notice is valid. [S. 2(47)(v)), 147, 148, Transfer of Property Act, 1882, S. 53A]

S. 44BB : Mineral oils-Computation-Contract with ONGC for replacement of well fire shut down panels at offshore platform on a turnkey basis-Amounts were remitted directly to UAE by ONGC-DRP erred in apportioning 10 per cent of gross receipts as taxable income-Section 44BB did not override provisions of section 5 of the Act-DTAA-India-USA. [S. 5, 9(1)(i), Art. 5, 7]

S. 44BB : Mineral oils-Non-Resident-Computation-Service tax being statutory levy should not form part of gross receipts.

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.