TMI Blog2015 (2) TMI 666X X X X Extracts X X X X X X X X Extracts X X X X ..... erest expenditure u/s 14A r.w.r. 8D - ITAT deleted the addition - Held that:- As relying on case of CIT vs. Reliance Utilities and Power Ltd. (2009 (1) TMI 4 - HIGH COURT BOMBAY) wherein held that if there were funds available both interestfee and overdraft and/or loans taken, then a presumption would arise that investments would be out of the interestfree fund generated or available with the comp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... two questions being substantial questions of law as under: (A) Whether the Appellate Tribunal has substantially erred in deleting the disallowance made of ₹ 1,03,21,009/- on account of bad debts without appreciating the fact that the bad debts claimed by the assessee which pertained to KECL JV Ellora, a Joint Venture for work relating to MSRDC? (B) Whether the Appellate Tribunal has s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erred decision of the Apex Court. 5. On the aspect of question (B), the perusal of the reasoning recorded by the Tribunal at paragraph 9 of the impugned order shows that the Tribunal has relied upon the decision of the Bombay High Court in the case of CIT vs. Reliance Utilities Power Ltd. reported in (2009) 313 ITR 340 (Bombay). We may also record that the very decision of the Bombay High Cou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nds. In that view of the matter, there is no factual basis to compute any interest for disallowance on prorate or otherwise. The addition of ₹ 4,99,370/is hence without basis and directed to be deleted. The Tribunal relied on the decision of the Bombay High Court in case of CIT vs. Reliance Utilities and Power Ltd. reported in (2009) 313 ITR 340 (Bom.). It was held that if there were fund ..... X X X X Extracts X X X X X X X X Extracts X X X X
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