Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (6) TMI 610 - AT - Income TaxDisallowance u/s 14A - assessee made suo-motu disallowance under Rule 8D(2)(i) and 8D(2)(ii) - contention of assessee is that the assessee is having sufficient own interest free funds to cover the investments - HELD THAT:- The presumption is that the investments are made from interest free funds available with the assessee. We find that similar plea was raised by the assessee in assessment year 2010-11. The Co-ordinate Bench [2020 (3) TMI 942 - ITAT MUMBAI] restored the issue back to the file of Assessing Officer to examine the availability of assessee’s own interest free funds viz-a-viz investments made. Since, the issues raised in present appeal are identical, additional ground No.1 & 2 are allowed for statistical purposes in similar terms. The Assessing Officer is directed to re-examine disallowance under section 14A r.w.r.8D in line with above directions of the Tribunal. Disallowance of provision made for leave salary under section 43B(f) - HELD THAT:- As decided in own case [2020 (3) TMI 942 - ITAT MUMBAI] Tribunal allowed relief to the assessee by following the decision of the Hon’ble Apex Court in the case of Bharat Earth Movers vs. CIT[2000 (8) TMI 4 - SUPREME COURT] Dehors the issue of constitutional validity of clause(f) to section 43B of the Act, the Co-ordinate Bench after considering the issue on merits has deleted the addition. Taking into consideration, entirety of facts we respectfully follow the decision of Tribunal in assessee’s own case for assessment year 2008-09 and confirm the findings of CIT(A) in deleting the disallowance.
|