S. 36(1)(vii) : Bad debt-Non-banking finance company-Interest income offered to tax in earlier years-Referral fee paid to group entity-Matter remanded for verification. [S. 37(1)]

S. 36(1)(va) : Any sum received from employees-Where assessee deposited employee’s contribution to ESI after the due date under the respective Act but before the due date of filing the return of income under the Act, the same would not warrant any disallowance. [S. 2(24)(x), 139(1)]

S. 36(1)(iii) : Interest on borrowed capital-Amalgamation-Interest paid after amalgamation-Matter remanded.

S. 35D : Amortisation of preliminary expenses-Amortisation of preliminary expenses-Entitled to deduction at one-Fifth of expenditure.

S. 32 : Depreciation-Westland Helicopters-Block of asset User of asset-The concept of user of assets has to apply upon block of asset as a whole instead individual assets-Denial of depreciation is held to be not valid. [S. 2(11)]

S. 32 : Depreciation-Goodwill-Capitalized goodwill on account of excess consideration-Commercial rights-Eligible depreciation. [S. 32(1)(ii)]

S. 32 : Depreciation-Biometric system’ is a ‘Computer’ and depreciation is to be allowed @ 60%.

S. 28(i) : Business loss-Advance to subsidiary-Amount written off-Allowable as business loss-Conversion of capital asset in to stock in trade-Loss on sale of stock in trade-Allowable as business loss.

S. 28(i) : Business income-Business expenditure-Software development-Expenses, depreciation and set off of brought forward loss and unabsorbed depreciation-Matter remanded to Commissioner (Appeals). [S. 68]

S. 22 : Income from house property-Income from business-Rental income from leasing of flats-Assessable as income from house property. [S. 28(i)]