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2020 (10) TMI 606 - AT - Income TaxDepreciation on asset which have been leased to other parties - HELD THAT:- Assessee had produced such certificates from the lessees before the Tribunal, whereas in the present case the certificates have been produced by the assessee before the CIT(A). CIT(A) has not observed anything wrong in those certificates. If he was having any doubt regarding those certificates and if same were produced for the first time before him, he should have admitted the same as additional evidence under Rule 46A of the Income-tax Rules and either he himself should have verified or should have referred the same to the Assessing Officer for verification. The impugned order of the Learned CIT(A) was passed in the year 2015, however nothing has been brought on record before us that anything wrong has been observed by the Departmental Authorities in those certificates. DR has also not pointed out anything wrong with those certificates submitted before the Ld. CIT(A). No justification or cause for issuing direction by the CIT(A) to the AO for verification of the depreciation claimed by the lessees, before allowing depreciation to the assessee on such leased asset. Accordingly, this ground of the appeal of the assessee is allowed. Disallowance made u/s 14A read with rule 8D of Income-tax Rules, 1962 - HELD THAT:- No expenses have been incurred for earning the dividend income, whereas the assessee has made suo motu disallowance of ₹ 10 lakh. AO has not pointed out how the said claim of ₹ 10 lakh, is not correct. The AO has jumped to the conclusion without examining the claim of the assessee. In our opinion, the facts and circumstances of the year under consideration being identical to the facts and circumstances of assessment year 2008-09, respectfully following the finding of the Tribunal [2020 (10) TMI 529 - ITAT DELHI] we hold that no disallowance u/s 14A can be made without recording proper satisfaction as required under the law. Accordingly, the disallowance in dispute is deleted. The ground of appeal is allowed. Disallowance u/s 14A while computing book profit under section 115JB - HELD THAT:- As decided in own case [2017 (6) TMI 1124 - ITAT DELHI] Computation under clause (f) of Explanation 1 to section 115JB(2). is to be made without resorting to the computation as contemplated u/s 14A read with Rule 8D of the Income-tax Rules, 1962.. Accordingly we restore this ground of appeal back to the file of the learned Assessing Officer to decide the issue without resorting to the rule 8D of the income tax rules for disallowing expenditure in relation to the exempt income by working out the book profit
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