“Section 152(3)”

A loan or advance from a closely held company to a 'concern' where a common shareholder has a substantial interest is not a deemed dividend under Section 2(22)(e) for the 'concern' if it is not a shareholder of the lending company. Deemed dividend under Section 2(22)(e) is taxable only in the hands of the registered or beneficial shareholder.

For charitable trusts claiming Section 11 exemption, Section 68 concerning cash credits does not apply to donations received. The non-submission or non-production of donor details does not automatically lead to an inference that the trust is introducing unaccounted money.

Income from investments must be considered for disallowance under Section 14A, but only if actual income has been earned. The assessment must involve an exercise to determine if income has been earned, if the investee company can declare dividends, and if dividends will be declared in the future.

Commission payments are not to be disallowed if the assessee provides evidence of services rendered, payment through banking channels, and relevant approvals, especially when the Revenue does not contest that services were not rendered at all.

When assessing income from undisclosed sources found during a search, the Assessing Officer can proceed under section 153C based on incriminating material found in the possession of a third party, even if the assessment is limited to specific block periods.

Where shares were sold prior to the suspension of trading, the subsequent suspension does not invalidate the transaction for the purpose of claiming capital gains.

The calculation of book profits under Section 115JB of the Income-tax Act, 1961, should be done on a composite and consolidated basis, not year-to-year. Unabsorbed depreciation and brought forward losses must be adjusted on an accumulated basis for set-off purposes.

Section 68 of the Income-tax Act, 1961, does not apply to a sum that has already been offered as income or utilized for charitable purposes.