“Section 191(1)”

When claiming an expenditure under section 37(1), the onus is on the assessee to prove the necessary facts, not on the revenue. Mere production of vouchers is insufficient if the genuineness of payment is doubted.

If a deductee has paid tax directly, the deductor's liability for non-deduction under Section 201(1) abates, and the deductor cannot be treated as an assessee-in-default. Interest under Section 201(1A) can only be charged from the date tax was deductible until the date it was actually paid by the deductee.

The entry in the books of accounts is not determinative of the true nature of a transaction for income tax purposes; the substance of the transaction, rather than its accounting treatment, governs its taxability and deductibility.

A wet dock of a dockyard is considered 'plant' for the purpose of depreciation.

Where the recipient of income is not liable to pay tax in India, the payer has no obligation to deduct tax at source. Consequently, no disallowance under section 40(a)(i) can be made for failure to deduct such tax.

Orders levying late fee under Section 234E are liable to be set aside if the authorities below have erred in sustaining the levy.

Sales tax for the last quarter of an assessment year, paid before the filing of the return, is deductible under Section 43B. Amendments to Section 43B introducing a proviso are considered clarificatory, curative, and explanatory, making them retrospective.

Tax is deductible at source under Section 194A only on interest that has 'partaken the character of income' in the hands of the recipient.