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2015 (3) TMI 192 - ITAT CHENNAI
Disallowance u/s 14A read with Rule 8D - CIT(A) deleted the disallowance holding that assessee has not received any exempt income - Held that:- We are of the view, Section 14A of the Act cannot be invoked. In this appeal, the revenue has not dispelled the findings of the CIT(A), nor the statement of the assessee before AO that assessee is not in receipt of any dividend income and hence according to us, the Assessing Officer has erred in invoking Section 14A of the Act, to disallow various interest payments on capital account, security deposits and unsecured loans. See JCIT v. Holland Equipment Co. B.V. [2005 (4) TMI 514 - ITAT MUMBAI]. Also in the case of CIT Vs. Winsome Textiles Industries Ltd. (2009 (8) TMI 220 - PUNJAB AND HARYANA HIGH COURT) the Hon’ble Punjab & Haryana High Court held that when there is no claim for exemption of income in such situation section 14A has no application. - Decided in favour of assessee.