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2012 (6) TMI 297 - AT - Income TaxDis-allowance u/s 14A - depreciation and other related expenses dis-allowed by apportioning them in the ratio of exempt share income from firm u/s 10(2A) to taxable income - Held that:- Instant case is that of the partner and therefore what is to be examined is whether the share income is excluded from his total income. The answer is obviously in the affirmative. In such a situation, provision contained in section 14A will come into operation and any expenditure other than depreciation incurred in earning the share income will have to be disallowed - Decided against the assessee. Depreciation being an expenditure or not? - Section 14A deals only with the expenditure and not any statutory allowance admissible to the assessee. A statutory allowance u/s 32 is not an expenditure, hence it cannot be subject matter of dis-allowance u/s 14A. See Hoshang D. Nanavati (2011 (3) TMI 89 (Tri)) - Decided in favor of assessee.
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