VOLUME 1 - Get Exclusive Access to Income Tax, GST

CASE NOS.

Chapter-heads v

List of Cases Digested I-21-I-71

List of Cases Affirmed/Reversed/Overruled/Approved/Disapproved I-73-I-81

List of Cases against which SLP Dismissed/Granted bySupreme Court I-83-I-91

List of Circulars & Notifications Judicially Analysed bySupreme Court/High Courts I-93-I-97

SECTIONS 2 & 3

� Definitions

� Agricultural income [Section 2(1A)] 1

� Deemed dividend [Section 2(22)] 2-11

� Interest [Section 2(28A)] 12

� Principal officer [Section 2(35)] 13-14

SECTION 4

� Charge of tax

� Basic concepts 15-16

� Income, definition of [Section 2(24)] 17

� Income - Chargeable as 18-41

� Hindu undivided family, assessable as 42-43

� Application of income, or diversion of income byoverriding title 44

� Mutual concern 45

I-3

PAGE NO.

CASE NOS.

��

VOLUME 1

pdfed t ng

http://www.pdfediting.com

CASE NOS.

SECTION 5

� Income, accrual of

� Time of accrual of income 46-59

SECTION 6

� Residential status

� Individual 60

SECTION 9

� Income deemed to accrue or arise in India

� Permanent establishment [Article 5 of OECD ModelConvention] 61-68

� Business profit [Article 7 of OECD Model Convention] 69-74

� Interest [Article 11 of OECD Model Convention] 75

� Royalty/fees for technical services [Article 12 of OECDModel Convention] 76-83

� Capital gains [Article 13 of OECD Model Convention] 84-86

� Income from employment [Article 15 of OECD ModelConvention] 87-88

� Elimination of double taxation [Article 23 of OECDModel Convention] 89-91

� Entry into force [Article 30 of OECD Model Convention] 92

SECTIONS 10 TO 10BA

� Exemptions

� Agricultural income [Section 10(1)] 93

� Voluntary retirement, payments on [Section 10(10C)] 94-97

� Local authority [Section 10(20)] 98-100

� Professional association [Section 10(23A)] 101

� Body or authority established for administering public orcharitable trust, etc. [Section 10(23BBA)] 102

� Educational institution [Section 10(23C)(vi)] 103-109

� Hospitals [Section 10(22A)/10(23C)(via)] 110-111

� Dividend [Section 10(34)] 112

� Income arising from transfer of long term capital assetbeing shares/units [Section 10(38)] 113

� Income arising to a specified authority/board/trust[Section 10(46)] 114

CONTENTS I-4

CASE NOS.

� Free trade zone, newly established undertakings[Section 10A] 115-124

� Special Economic Zone [Section 10AA] 125

� Export oriented undertakings [Section 10B] 126-139

� Export of certain articles [Section 10BA] 140

SECTIONS 11 TO 13

� Charitable/religious trust

� Charitable purpose [Section 2(15)] 141-148

� Exemption of income from property held under trust[Section 11] 149-157

� Corpus donation [Section 12A] 158

� Registration of trust [Section 12A/12AA] 159-175

� Denial of exemption [Section 13] 176-177

SECTION 14A

� Expenditure incurred in relation to income not includible intotal income

� Conditions precedent 178

� Extent of disallowance 179-181

� In respect of certain income 182-185

� In respect of certain expenses 186-188

� Rule 8D 189

� Reassessment 190-191

SECTIONS 15 TO 17

� Salaries

� Salaries, chargeable as [Section 15] 192

� Perquisites [Section 17(2)] 193-196

SECTIONS 22 TO 27

� Income from house property

� Chargeable as [Section 22] 197

� Annual value [Section 23] 198

� Vacancy allowance 199

I-5 CONTENTS

CASE NOS.

SECTION 28

� Profit and gains of business or profession

� Adventure in the nature of trade [Section 2(13)] 200-201

� Business income - Chargeable as [Section 28(i)] 202-209

� Business deduction/loss - Allowable as [Section 28(i)] 210-216

� Value of benefits or amenities arising from exercise ofbusiness or profession [Section 28(iv)] 217

SECTION 30

� Rent, rates, taxes, repairs and insurance

� Rent 218

SECTION 32

� Depreciation

� User of asset 219-221

� Block of assets 222

� Intangible assets 223-225

� Lease of assets 226-227

� Assets entitled to depreciation 228

� Section 35AC exemption, effect of 229

� Rate of depreciation 230-233

� Additional depreciation [Section 32(1)(iia)] 234-235

� Assets sold/discarded 236

� Unabsorbed depreciation 237-239

� 100 per cent depreciation 240

� Trust, in case of - Position prior to 1-4-2015 241-242

� Revision 243-243A

� Reassessment 244

SECTION 32A

� Investment allowance

� Business machinery 245

� Withdrawal of allowance 246

CONTENTS I-6

CASE NOS.

SECTION 35

� Scientific research expenditure

� Sub-section (1)(iv) 247

� Sub-section (2AB) 248-249

SECTION 35AB

� Technical know-how expenses

� Scope of provision 250

SECTION 35AC

� Eligible projects or schemes, expenditure on


SECTION 35B

� Export market development allowance


SECTION 36(1)(iii)

� Interest on borrowed capital

� For purpose of business 253-257

� Existing v. new business 258-259

� Interest free advances 260-262

� Others 263-264

SECTION 36(1)(v)

� Gratuity fund, contribution towards


� Quantum of deduction 266


SECTION 36(1)(va)

� Employees’ contribution

� Due date 268-269

I-7 CONTENTS

CASE NOS.

SECTION 36(1)(vii)/(viia)

� Bad debts

� Illustrations 270-272

� Bank/NBFC, in case of 273-274


SECTION 36(1)(viii)

� Financial corporations, special reserve created by

� Computation of deduction 276-277

SECTION 37(1)

� Business expenditure

� Allowability of 278-346

� Year in which deductible 347-354

SECTIONS 40, 40A & 43B

� Business disallowance

� Interest, etc., paid to a resident without deduction of taxat source [Section 40(a)(ia)] 355-360

� Royalty levied by State Government [Section 40(a)(iib)] 361-362

� Interest, salary, etc., paid by firm to partners [Section 40(b)] 363

� Excessive or unreasonable payment [Section 40A(2)] 364-366

� Cash payment exceeding prescribed limit [Section 40A(3)] 367-374

� Gratuity [Section 40A(7)] 375

� Certain deductions to be allowed only on actual payment[Section 43B] 376-380

SECTION 41(1)

� Remission or cessation of trading liability

� Conditions precedent 381-382

� Remission or cessation of liability, connotation of 383-387

SECTION 43(5)

� Speculative transactions

� Derivatives 388

� Forward contracts 389

CONTENTS I-8

CASE NOS.

SECTION 43(6)

� Written Down Value

� Computation of 390

SECTION 43A

� Foreign currency, effect of change in rate of exchange for

� Scope of provision 391-392

SECTION 43D

� Public financial institutions/Public companies, specialprovision in case of income of


SECTION 44BB

� Mineral oils, special provisions for computing profits & gains inconnection with business of exploration, etc., of


� Computation of income 395

� Reassessment 396-397

SECTIONS 45 TO 55A

� Capital gains

� Capital assets [Section 2(14)] 398-404

� Slump sale [Section 2(42C)] 405

� Transfer [Section 2(47)] 406-415

� Capital gain, chargeable as [Section 45] 416-429

� Transaction not regarded as transfer [Section 47] 430-431

� Withdrawal of exemption of section 47 in certain cases[Section 47A] 432

� Computation of capital gains [Sections 48, 49, 50, 50B & 55] 433-447

� Special provisions for full value of consideration in certaincases [Section 50C] 448-449

� Exemption in case of profit from sale of property used forresidence [Section 54] 450-451

� Exemption in case of transfer of land used for agriculturalpurposes [Section 54B] 452-454

� Exemption on transfer of capital assets in case ofinvestment in specified assets [Section 54EA] 455

I-9 CONTENTS

CASE NOS.

� Exemption in case of investment in specified bonds[Section 54EC] 456

� Exemption in case of investment in residential house[Section 54F] 457-460

� Tax on long-term capital gain [Section 112] 461-462

SECTIONS 56 & 57

� Income from other sources

� Chargeable as [Section 56] 463-471

SECTION 68

� Cash credits


� Burden of proof 474-478

� Accommodation entries 479-483

� Bank account/deposit 484-491

� Cash sales 492

� Deposits 493

� Firm/partner, in case of 494-497

� Gift 498-503

� Loans & advances 504-514

� Loose slip 515

� Share capital/share application money 516-533

� Suppressed sales 534-535

� Other illustrations 536

SECTION 69

� Unexplained investments

� Benefit of telescoping 537

� Bank deposits 538

� Bank drafts 539

� Construction expenses/immovable property 540-550

� Share dealing 551-554

� Seized/loose papers 555-556

� Others 557

CONTENTS I-10

CASE NOS.

SECTION 69A

� Unexplained moneys, etc.

� Burden of proof 558-559

� Admission in sworn statement 560

� Bank deposits 561-562

� Bogus expenses 563

� Cash 564

� Firm-partner, in case of 565

� Jewellery 566

� Loan 567

� Share application money/premium 568-569

� Surrendered income 570

SECTION 69B

� Undisclosed investments

� Burden of proof 571

� Jewellery 572

� Loan 573

� Shares, investment in 574-575

� Suppressed sales 576

SECTION 69C

� Unexplained expenditure

� Bogus purchases 577-579

� Construction expenses 580

� Contract charges 581

� Labour and wages expenses 582

� Packing expenses 583

� Stock, undisclosed 584

� Work in progress 585

SECTIONS 70 TO 80

� Losses

� Carry forward & set off of business losses [Section 72] 586-587

� Carry forward & set off of losses in case of amalgamation[Section 72A] 588

� Speculation losses [Section 73] 589-591

� Loss return [Section 80] 592

I-11 CONTENTS

CASE NOS.

SECTIONS 80G TO 80P

� Deductions

� Donation to certain charitable institution [Section 80G] 593-597

� Exporters [Section 80HHC] 598-600

� Computer software, export of [Section 80HHE] 601

� Profit and gains from infrastructure undertakings[Section 80-I/80-IA] 602-630

� Profit and gains of undertaking engaged in developmentof SEZs [Section 80-IAB] 631

� Profit and gains from industrial undertakings other thaninfrastructure undertakings [Section 80-IB] 632-645

� Profit and gain of undertakings in special category states[Section 80-IC] 646-649

� Inter corporate dividends [Section 80M] 650

� Royalty, etc., for foreign enterprise [Section 80-O] 651

� Income of co-operative societies [Section 80P] 652-657

SECTIONS 92A TO 92F

� Transfer pricing

� Associated enterprise [Section 92A] 658

� International transaction [Section 92B] 659-662

� Computation of arm’s length price - General principles 663

� Computation of arm’s length price - Methods for determining 664-666

� Computation of arm’s length price - Comparables 667-710

� Adjustments 711-725

� Sub-section (4) of section 92C 726

� Safe Harbour Rule 727

� Reference to TPO [Section 92CA] 728

� Maintenance and keeping of information and documents[Section 92D read with section 271G] 729-730

� Dispute resolution panel [Section 144C] 731-741

SECTIONS 115J TO 115JB

� Minimum alternate tax

� Interest under sections 234B and 234C 742

� Computation of book profit 743-749

CONTENTS I-12

CASE NOS.

SECTION 115-O

� Tax on distributed profits of domestic company


SECTIONS 115WB & 115WE

� Fringe benefit tax

� Constitutional validity 751

SECTIONS 119, 120, 124, 127 & 131

� Income-tax authorities

� Instruction to subordinate authorities [Section 119] 752-754

� Income-tax authorities - Jurisdiction of [Section 120] 755

� Assessing officer [Section 124] 756

� Transfer of cases [Section 127] 757-759

� Discovery, production of evidence, etc. powersregarding [Section 131] 760-761

SECTIONS 132 TO 133

� Search & seizure

� Warrant of authorization 762-763

� Validity of search 764

� Illegal search 765

� Presumption under section 132(4A) 766

� Requisition of books of account, power of [Section 132A] 767

� Seized or requisitioned assets, application of [Section 132B] 768

� Power to call for information [Section 133] 769

SECTION 139

� Return of income

� e-Returns 770

� Person liable to furnish return 771

� Extension of time for filing return 772

� Processing of return 773

� Defective return 774-776

� Condonation of delay in filing return 777-783

I-13 CONTENTS

CASE NOS.

SECTION 139AA

� Aadhaar number, quoting of

� Constitutional validity 784


� Return without Aadhaar 786-788

SECTION 142

� Inquiry before assessment

� Special audit 789-793

SECTIONS 143 AND 144

� Assessment

� Natural justice 794

� Non-existent entity, in case of 795-796

� Notice under section 143(2) 797-801

� Assessing officer, powers of 802-803

SECTIONS 145 & 145A

� Method of accounting

� Project completion method 804-805

� Rejection of accounts 806-810

� Estimation of income 811-816

� Valuation of stock 817-819

SECTIONS 147 TO 153

� Income escaping assessment

� General 820

� Scope of reassessment 821-822

� Section 143(2) vs. section 147 823-824

� Explanation 3 825

� Reason to believe 826-828A

� Objection of assessee 829-832

� Notice for reassessment [Section 148] 833-847

� Time limit for issuing notice [Section 149] 848-849

� Sanction for issue of notice [Section 151] 850-855

� Time limit for completion of assessment [Section 153] 856

CONTENTS I-14

CASE NOS.

SECTIONS 153A TO 153D

� Search & seizure, assessment in case of

� Assessment in case of search and seizure [Section 153A] 857-862

� Time limit for completion of assessment under section153A [Section 153B] 863

� Assessment of income in case of any other person[Section 153C] 864-870

� Prior approval for assessment under section 153A[Section 153D] 871-874

SECTIONS 154 & 155

� Rectification of mistakes

� Scope of power of rectification 875

� Doctrine of merger 876-878

SECTION 156

� Notice of demand

� Service of notice 879

SECTIONS 158B TO 158BFA

� Block assessment in search cases

� Computation of undisclosed income [Section 158BB] 880-881

� Undisclosed income of any other person [Section 158BD] 882-883

� Time limit for completion of block assessment[Section 158BE] 884

� Penalty/penal interest [Section 158BFA] 885

SECTIONS 159 TO 179

� Liability in special cases

� Legal representatives [Section 159] 886-888

� Non-resident, agent of [Section 163] 889-890

� Association of person [Section 167B] 891-892

� Succession to business otherwise than on death[Section 170] 893

� Company in liquidation [Section 179] 894-895A

I-15 CONTENTS

CASE NOS.

SECTION 184

� Firm


SECTIONS 192 TO 206C

� Deduction/Collection of tax at source

� Interest other than interest on securities [Section 194A] 897-900

� Contractors/sub-contractors, payment to [Section 194C] 901-911

� Commission or brokerage [Section 194H] 912-917

� Rent [Section 194-I] 918

� Fee for technical/professional services [Section 194J] 919-921A

� Compensation on acquisition of capital asset [Section 194L] 922

� Compensation of acquisition of certain immovable property[Section 194LA] 923

� Non-resident, payment to [Section 195] 924-925

� Income payable net of tax [Section 195A] 926

� Certificate for deduction of tax at lower rate [Section 197] 927-929

� Duty of person deducting tax [Section 200] 930

� Consequence of failure to deduct or pay [Section 201] 931-933

� Requirement to furnish PAN [Section 206AA] 934

� Collection of tax at source [Section 206C] 935-937

SECTIONS 207 TO 219

� Advance Tax

� Advance tax - Condition of [Section 208] 938

� Advance tax - Credit for [Section 219] 939

SECTIONS 220 TO 226

� Collection and recovery of tax

� When tax payable and when assessee deemed in default[Section 220] 940-963

� Penalty payable when tax in default [Section 221] 964

� Certificate proceedings [Section 222] 965-970

� Other modes of recovery [Section 226] 971-979

CONTENTS I-16

CASE NOS.


� Interest, chargeable as

� Scope of provisions 980-982

� Non-resident, in case of 983

� Waiver of interest 984-989

SECTIONS 237 TO 245

� Refunds


� Interest on refunds [Section 244A] 996-996A

� Set off of refund [Section 245] 997-998

SECTIONS 245BA TO 245K

� Settlement Commission

� Jurisdiction and powers of Settlement Commission[Section 245BA] 999

� Application for settlement of cases [Section 245C] 1000-1001

� Procedure on receipt of application [Section 245D] 1002-1013

� Powers and procedure of Settlement Commission[Section 245F] 1014-1015

� Abatement of proceedings [Section 245HA] 1016-1017

� Bar on subsequent application for settlement [Section 245K] 1018

SECTIONS 245N TO 245V

� Advance rulings

� Procedure on receipt of application [Section 245P] 1019

SECTIONS 246A TO 251

� Commissioner (Appeals)

� Appealable order [Section 246] 1020-1022

� Appeal by person denying his liability to deduct tax[Section 248] 1023

� Form of appeal and limitation [Section 249] 1024-1026

� Power of [Section 251] 1027-1033

I-17 CONTENTS

CASE NOS.

CONTENTS I-18

SECTIONS 252 TO 255

� Appellate Tribunal

� Cross objections 1034

� Ex-parte order 1035-1036

� Dismissal of appeal in limine 1037

� Consolidation of appeals 1038

� Condonation of delay in filing appeal 1039

� Power to admit additional evidence 1040-1041

� Power to enhance assessment 1042

� Power to grant stay 1043-1046

� Power of rectification 1047-1051

� Power to remand 1052

� Special Bench 1053

� Third Member, jurisdiction of 1054

� Retirement of member 1055

� Members, selection of 1056

SECTION 260A

� High Courts, appeal to

� Scope of appeal 1057-1058

� Adjournment 1059

� Territorial jurisdiction 1060

� Condonation of delay in filing appeal/period of limitation 1061-1065

� Power to dismiss appeal 1066

� Recalling of order 1067

� Restoration of appeal 1068-1069

SECTION 261

� Supreme Court, appeals to

� Condonation of delay in filing appeal 1070

SECTIONS 263 & 264

� Revision by Commissioner

� Scope of jurisdiction 1071-1072

� Opportunity of hearing 1073

� Doctrine of merger 1074

� Period of limitation 1075-1076

CASE NOS.

� Power to order penalty proceedings 1077

� Revision of other order [Section 264] 1078-1080

SECTION 268A

� Filing of appeal or application for reference by income-taxauthorities


� Monetary limits 1082

SECTIONS 269SS & 269T

� Loans or deposits, mode of accepting/repayment

� Acceptance of deposits [Section 269SS] 1083-1085

� Penalty for failure to comply with section 269SS/269T[Section 271D] 1086-1089

SECTIONS 271 TO 275

� Penalty

� Penalty for concealment of income [Section 271(1)(c)] 1090-1112

� Penalty where search has been initiated [Section 271AAA/271AAB] 1113-1117

� Penalty for failure to deduct tax at source [Section 271C] 1118

� Penalty for failure to furnish return of income [Section 271F] 1119

� Procedure for imposition of penalty [Section 274] 1120

� Limitation period [Section 275] 1121-1122

SECTIONS 276B TO 279

� Offences & prosecution

� Failure to pay tax to credit of Central Government[Section 276B] 1123

� Wilful attempt to evade tax [Section 276C] 1024-1126

� Failure to furnish return of income [Section 276CC] 1127-1128

� Prosecution to be at instance of Commissioner [Section 279] 1029-1131

SECTION 281

� Certain transfers to be void


� Tax Recovery Officer, jurisdiction of 1134-1136

� Writ remedy 1137

I-19 CONTENTS

CASE NOS.

SECTION 282

� Service of notice

� Validity of service 1138

SECTION 292B

� Return of income, etc., not to be invalid on certain grounds


OTHER ACTS

� Wealth-tax Act 1140-1142

� Black Money (Undisclosed Foreign Income and Assets)and Imposition of Tax Act, 2015 1143-1144

� Gift-tax Act, 1958 1145

� Prohibition of Benami Property Transactions Act, 1988 1146-1147

� Income Declaration Scheme, 2016 1148-1150

� Direct Tax Dispute Resolution Scheme, 2016 1151

� Kar Vivad Samadhan Scheme, 1998 1152

WORDS & PHRASES

� Words & Phrases 1153-1174

PAGE NO.

SUBJECT INDEX 1.735-1.763

CONTENTS I-20

CASE NOS.

Chapter-heads I-5

List of cases digested I-23-I-74

List of Circulars & Notifications judicially analysed by Tribunals I-75-I-180

CASE NOS.

SECTION 2

� Definitions

� Agricultural income [Section 2(1A)] 1-2

� Deemed dividend [Section 2(22)] 3-10

� Interest [Section 2(28A)] 11

� Recognized provident fund [Section 2(38)] 12

SECTION 4

� Charge of tax

� Income, definition of [Section 2(24)] 13

� Income, chargeable as 14-21

� Hindu undivided family - Assessable as 22

SECTION 5

� Income, accrual of

� Time of accrual of income 23-31

I-7

PAGE NO.

��

VOLUME 2

pdfed t ng


CASE NOS.

CONTENTS I-8

SECTION 6

� Residential status

� Individual 32

SECTION 9

� Income deemed to accrue or arise in India

� Resident [Article 4 of OECD Model Convention] 33

� Permanent establishment [Article 5 of OECD ModelConvention] 34-42

� Business profit [Article 7 of OECD Model Convention] 43-70

� Shipping, inland waterways transport and air transport[Article 8 of OECD Model Convention] 71-74

� Interest [Article 11 of OECD Model Convention] 75-79

� Royalty/Fees for technical services [Article 12 of OECDModel Convention] 80-144

� Capital gains [Article 13 of OECD Model Convention] 145

� Independent personal services [Article 14 of OECD ModelConvention] 146-150

� Income from employment [Article 15 of OECD ModelConvention] 151

� Entertainer and sports person [Article 17 of OECD ModelConvention] 152

� Other income [Article 21 of OECD Model Convention] 153

� Elimination of double taxation [Article 23 of OECD ModelConvention] 154-156

SECTIONS 10 TO 10B

� Exemptions

� Firm, share of partner in [Section 10(2A)] 157

� Leave salary [Section 10(10AA)] 158

� Retrenchment compensation [Section 10(10B)] 159

� Recognised provident fund, payment from [Section 10(12)] 160

� Educational institution [Section 10(23C)(iiiab)/(iiiad)/(vi)] 161-165

� Venture capital funds [Section 10(23FB)] 166-167

� Infrastructure undertaking [Section 10(23G)] 168

� Capital gain on transfer of agricultural land [Section 10(37)] 169-171

� Free trade zone [Section 10A] 172-173

pdfed t ng


CASE NOS.

I-9 CONTENTS

� Special economic zone [Section 10AA] 174-175

� Export oriented undertakings [Section 10B] 176-180

SECTIONS 11 TO 13

� Charitable/religious trust

� Charitable purpose [Section 2(15)] 181-196

� Exemption of income from property held under trust[Section 11] 197-203

� Corpus donation [Section 12] 204-205

� Registration of trust [Section 12A/12AA] 206-216

� Denial of exemption [Section 13] 217-222

SECTION 14A

� Expenditure incurred in relation to income not includible intotal income


� Recording of satisfaction 233-235

� Insurance companies, in case of 236

� Rule 8D 237-239

� In respect of certain incomes 240-242

� In respect of certain payments 243-249

� Section 80P cases 250

SECTIONS 15 TO 17

� Salaries

� Perquisites [Section 17(2)] 251-253

SECTIONS 22 TO 24

� Income from house property


� Annual value [Section 23] 258-269

� Deductions [Section 24] 270-271

SECTION 28

� Profits and gains of business or profession

� Business income - Chargeable as [Section 28(i)] 272-279

� Business income - Year in which taxable 280

pdfed t ng


CASE NOS.

CONTENTS I-10

� Business deduction/loss - Allowable [Section 28(i)] 281-287

� Compensation for termination of agency, etc. [Section 28(ii)] 288

� Value of any benefit or perquisite, arising from businessor exercise of profession [Section 28(iv)] 289-293

� Non-compete fees [Section 28(va)] 294

SECTION 32

� Depreciation

� Claim for depreciation 295

� Actual cost of asset 296

� Intangible assets 297-299

� Assets entitled to depreciation 300

� Rate of depreciation 301-303

� Additional depreciation 304

� Unabsorbed depreciation, carry forward and set off of 305-306

� Charitable trust, in case of 307


SECTION 33AB

� Tea development account


SECTION 35

� Scientific research expenditure

� Sub-section (1)(ii) 310-311

� Sub-section (1)(iv) 312-313

� Sub-section (2AB) 314-316

SECTION 35A

� Patent rights, expenditure on acquisition of

� Trademark 317

SECTION 35AB

� Technical know-how expenses


pdfed t ng


CASE NOS.

I-11 CONTENTS

SECTION 35AD

� Specified businesses, deduction in respect of expenditure on

� Hotel 319

SECTION 35DD

� Amalgamation or demerger, expenditure in case of

� Conditions precedent 320

SECTION 36(1)(ii)

� Commission/bonus


SECTION 36(1)(iii)

� Interest on borrowed capital

� For purpose of business 322-325

� Interest free loans/advances 326-327

� Acquisition of assets 328-330

SECTION 36(1)(v)

� Gratuity fund, contribution towards


SECTION 36(1)(va)

� Employees’ contribution

� Due date 332

SECTION 36(1)(vii)/(viia)

� Bad debts

� Writing off of debt 333-336

� Banks, in case of 337-340

� Revision 341

SECTION 36(1)(viii)

� Financial corporations, special reserve created by


pdfed t ng


CASE NOS.

CONTENTS I-12

SECTION 37(1)

� Business expenditure

� Allowability of 344-436

� Year in which deductible 437-445

SECTIONS 40, 40A & 43B

� Business disallowance

� Interest, etc., paid to non-resident without deduction of taxat source [Section 40(a)(i)] 446-451

� Interest, etc., paid to resident without deduction of tax atsource [Section 40(a)(ia)] 452-462

� Interest, Salary, etc., paid by firm to partner [Section 40(b)] 463

� Interest, salary, etc., paid by AOP/BOI to its members[Section 40(ba)] 464

� Excessive or unreasonable payment [Section 40A(2)] 465-468

� Cash payment exceeding prescribed limits [Section 40A(3)] 469-472

� Certain deductions to be allowed only on actual payment[Section 43B] 473-479

SECTION 41(1)

� Remission or cessation of trading liability

� Cessation of liability 480-484

� Commission 485

SECTION 43(1)

� Actual cost

� Explanation 10 486

SECTION 43(5)

� Speculative transactions

� Derivative trading 487-489

SECTION 43CA

� Assets other than capital assets, full value of consideration fortransfer of


pdfed t ng


CASE NOS.

I-13 CONTENTS

SECTION 44

� Insurance business


� Computation of income 493-500

SECTION 44AE

� Transporters

� Illustrations 501

SECTION 44BB

� Mineral oils, special provisions for computing profits & gains inconnection with business of exploration, etc., of


� Section 44BB v. section 44B 504

� Computation of income 505-506

SECTION 44BBB

� Civil construction business, special provisions for computingprofits of foreign companies engaged in

� Application of provision 507

SECTION 44C

� Head office expenditure, non-resident in case of


SECTIONS 45 TO 55A

� Capital gains

� Capital assets [Section 2(14)] 509-514

� Long term/short-term capital gains [Section 2(29A)/(29B)/(42A)/(42B)] 515-518

� Transfer [Section 2(47)] 519-531

� Capital gains, chargeable as [Section 45] 532-547

� Transaction not regarded as transfer [Section 47] 548-549

� Computation of capital gains [Sections 48 & 55] 550-559

� Cost with reference to certain modes of acquisition [Section 49] 560

� Depreciable assets [Section 50] 561-562

� Slump sale [Section 50B] 563-564

pdfed t ng


CASE NOS.

CONTENTS I-14

� Special provision for computing full value of considerationin certain cases [Section 50C] 565-573

� Fair market value deemed to be full value of considerationin certain cases [Section 50D] 574

� Exemption : Profit on sale of property used for residence[Section 54] 575-589

� Exemption : Capital gains on transfer of land used foragricultural purpose [Section 54B] 590-592

� Exemption : Investment in certain bonds [Section 54EC] 593-595

� Exemption : Investment in residential house [Section 54F] 596-610

� Exemption : Capital gain on shifting of industrialundertaking from urban areas [Section 54G] 611

SECTIONS 56 & 57

� Income from other sources


� Deductions [Section 57] 639-642

SECTION 68

� Cash credits


� Accommodation entries 644

� Bank deposit 645-648

� Bogus sale 649

� Cash receipt 650

� Gift 651-653

� Loans & advances 654

� Share application money/premium 655-672

� Shares dealing 673

� Others 674-675

SECTION 69

� Unexplained investments


� Bonds 677

� Gift 678

� Immovable property 679-685

� On money 686

pdfed t ng


CASE NOS.

I-15 CONTENTS

� Shares 687

� Others 688

SECTION 69A

� Unexplained moneys, etc.

� Bank deposit 689-691

� Cash 692

� Contractual receipt 693-694

� Gifts 695

� Immovable property 696-697

� Jewellery/gold 698-700

� Professional charges 701

� Share dealings 702

� Wastage 703

SECTION 69B

� Undisclosed investments

� General 704

� Excess stock 705

� Firm/partner, in case of 706

� On money 707

SECTION 69C

� Unexplained expenditure

� Bogus purchases 708-712

� Cash payments 713

� Immovable property 714

SECTION 69D

� Amount borrowed or repaid on hundi


SECTIONS 70 TO 79

� Losses

� Intra head set-off [Section 71] 716-717

� Carry forward and set-off of business loss [Section 72] 718-719

pdfed t ng


CASE NOS.

CONTENTS I-16

� Carry forward and set-off of losses, in case ofamalgamation [Section 72A] 720-723

� Speculation losses [Section 73] 724-727

� Losses under head capital gain [Section 74] 728

� Set-off in case of certain companies [Section 79] 729-734

SECTIONS 80G TO 80P

� Deductions

� Political contribution [Section 80GGC] 735

� Profit and gains from infrastructure undertaking[Section 80-IA] 736-742

� Profits and gains from industrial undertaking otherthan infrastructure undertakings [Section 80-IB] 743

� Special provisions in respect of certain undertakingsin special category states [Section 80-IC] 744-750

� Profit and gains from hotels and convention centres inspecified area [Section 80-ID] 751

� Special provision in respect of certain undertakingin north-eastern states [Section 80-IE] 752

� Income of co-operative societies [Section 80P] 753-758

SECTION 89

� Relief where salary etc., paid in arrears


SECTIONS 92A TO 92F

� Transfer pricing

� Associated enterprise [Section 92A] 760-761

� International transactions [Section 92B] 762-788

� Computation of arm’s length price - General principles 789-791

� Computation of arm’s length price - Methods for computation 792-843

� Comparables 844-1359

� Adjustments 1360-1543

� Safe Harbour Rules 1544

� Reference to TPO [Section 92CA] 1545-1549

� Maintenance and keeping of information and documents[Section 92D read with sections 271AA & 271G] 1550

� Dispute resolution panel [Section 144C] 1551-1568

� Penalty under section 271(1)(c) 1569

pdfed t ng


CASE NOS.

I-17 CONTENTS

SECTION 93

� Avoidance of tax by transactions resulting in transfer of incometo non-residents


SECTION 94

� Avoidance of tax by certain transactions in securities


SECTION 115BBE

� Tax on income referred to in sections 68/69/69A/69B to 69D


SECTIONS 115JAA & 115JB

� Minimum alternate tax

� Tax credit [Section 115JAA] 1573-1574

� Computation of book profit [Section 115JB] 1575-1590

SECTION 115WB

� Fringe benefit tax

� Pension fund, contribution to 1591

SECTIONS 120, 124 & 127

� Income-tax authorities

� Assessing Officer, jurisdiction of [Section 124] 1592

� Transfer of cases [Section 127] 1593-1594

SECTION 139

� Return of income

� Physical filing of return 1595

� Levy of penal interest 1596

SECTION 140A

� Self-assessment

� Penalty 1597

pdfed t ng


CASE NOS.

CONTENTS I-18

SECTIONS 143 AND 144

� Assessment

� Amalgamation, in case of 1598

� Notice under section 143(2) 1599-1601

� Protective assessment 1602

� Scrutiny assessment 1603

� Best judgment assessment [Section 144] 1604

SECTIONS 145 & 145A

� Method of accounting

� Mercantile system of accounting 1605

� Project completion method 1606

� Retail method 1607

� Change of method of accounting 1608

� Rejection of books of account 1609

� Estimation of income 1610-1612

� Work-in-progress 1613

� Valuation of stock 1614-1616

SECTIONS 147 TO 153

� Income escaping assessment

� Scope of reassessment 1617-1618

� Section 147 vs. section 153C 1619

� Reason to believe 1620

� Notice for reassessment [Section 148] 1621

� Provision for cases where assessment is in pursuanceof an order on appeal [Section 150] 1622-1624

� Sanction for issue of notice [Section 151] 1625-1628

SECTIONS 153A TO 153C

� Search & seizure, assessment in case of

� Assessment in case of search or requisition [Section 153A] 1629-1634

� Assessment of income of any other person [Section 153C] 1635-1638

pdfed t ng


CASE NOS.

I-19 CONTENTS

SECTION 154

� Rectification of mistake


SECTIONS 159 TO 176

� Liability in special cases

� Legal representative [Section 159] 1640

� Representative assessee, liability of [Section 161] 1641

� Trust [Section 164] 1642

� Shipping business of non-resident [Section 172] 1643

� Discontinued business [Section 176] 1644

SECTION 184

� Firm

� Sub-section (2) 1645

SECTIONS 194A TO 206C AND 234E

� Deduction/collection of tax at source

� Interest other than interest on securities [Section 194A] 1646-1647

� Contractors/sub-contractors, payment to [Section 194C] 1648-1661

� Insurance commission [Section 194D] 1662

� Commission or brokerage [Section 194H] 1663-1669

� Rent [Section 194-I] 1670-1672

� Fees for professional or technical services [Section 194J] 1673-1679

� Non-resident, payment to [Section 195] 1680

� Certificate for lower deduction of tax at source [Section 197] 1681

� Credit for tax deducted at source [Section 199] 1682

� Consequences of failure to deduct or pay tax [Section 201] 1683-1687

� Requirement to furnish pan [Section 206AA] 1688-1689

� Collection of tax at source [Section 206C] 1690-1691

� Fee for default in furnishing statement [Section 234E] 1692

SECTIONS 220 & 221

� Collection and recovery of tax

� When tax payable and when assessee deemed in default[Section 220] 1693

� Penalty payable when tax in default [Section 221] 1694

pdfed t ng


CASE NOS.

CONTENTS I-20


� Interest, chargeable as

� Computation of interest 1695

� MAT companies, in case of 1696

� AMT cases 1697

SECTION 244A

� Refunds

� Interest on refunds 1698

SECTION 245-I

� Settlement Commission

� Abatement of proceedings [Section 245HA] 1699

� Order of settlement commission to be conclusive[Section 245-I] 1700

SECTIONS 249 TO 251

� Commissioner (Appeals)

� Form of appeal and limitation [Section 249] 1701

� Powers of [Sections 250 & 251] 1702-1708

SECTIONS 253 TO 255

� Appellate Tribunal

� Territorial jurisdiction 1709

� Power to admit additional ground 1710-1711

� Power to condone delay in filing appeal 1712-1713

� Speaking order 1714

� Rule 27 of ITAT Rules 1715

� Power to grant stay 1716-1719

� Power of rectification 1720-1722

SECTIONS 263 & 264

� Revision by Commissioner

� Scope of power 1723-1725

pdfed t ng


CASE NOS.

I-21 CONTENTS

SECTION 268A

� Filing of appeal or application for reference by income-taxauthority

� Circular No. 3 of 2018 1726

SECTIONS 271 TO 272A

� Penalty

� Penalty for failure to comply with notice [Section 271(1)(b)] 1727

� Penalty for concealment of income [Section 271(1)(c)] 1728-1741

� Penalty where search has been initiated [Sections 271AAA& 271AAB] 1742-1747

� Penalty for failure to deduct tax at source [Section 271C] 1748

� Penalty for failure to comply with provisions of section269SS [Section 271D] 1749-1751

� Penalty for failure to answer questions [Section 272A] 1752

� Procedure for imposition of penalty [Section 274] 1753

SECTION 292B

� Return of income, etc., not to be invalid on certain grounds


� Words and phrases 1755-1758

PAGE NO.

SUBJECT INDEX i-xxix

pdfed t ng


Documents

VOLUME 1 - Get Exclusive Access to Income Tax, GST