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2014 (8) TMI 1137 - AT - Income TaxAddition u/s 14A - sufficiency of own funds - Held that:- We find that assessee has sufficient own capital which does not bear any interest. Assessee had capital amounting to ₹ 222 crores and investment made by the assessee were only ₹ 35 crores. The ld. CIT(A) himself accepted that assessee is having sufficient own funds as capital as compared to investments yielding exempt income. In these circumstances we hold that since the assessee has sufficient own capital to make investment for earning exempt income no portion of interest from borrowed capital should be allocated to earn exempt income in this case. Accordingly this appeal of the assessee is partly allowed.
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