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2016 (1) TMI 239 - AT - Income TaxAssessing income from letting out of property - under the head ‘income from house property’ OR ‘income from business or profession’ - Held that:- For the assessment year 2001-02, the ITAT in its order decided the issue in favour of the Revenue by following the decision of the Hon’ble Jurisdictional High Court in the case of CIT v. Chennai Properties and Investments [2015 (5) TMI 46 - SUPREME COURT]. The very same decision of the Hon’ble Jurisdictional High Court has been reverted by the Hon’ble Supreme Court in the case of Chennai Properties and Investments Ltd. v. CIT [2015 (5) TMI 46 - SUPREME COURT] thus income had to be treated as income from business and not as income from house property.- Decided in favour of assessee. Disallowance u/s 14A read with Rule 8D - Held that:- In the present case, the assessee has earned exempt dividend income of ₹ 50,611/-. The assessee has not admitted any expenses to earn the above dividend income. The Assessing Officer disallowed the expenses to the tune of ₹ 1,30,649/- by invoking section 14A r.w.r. 8D. By taking into consideration of the facts and circumstances of the present case and keeping in view of the above decision of the Hon’ble Delhi High Court in case of Joint Investments Pvt. Ltd. v. CIT [2015 (3) TMI 155 - DELHI HIGH COURT], we are of the opinion that the Assessing Officer is not justified in making excessive disallowance. Therefore, we restrict the disallowance made by the Assessing Officer to the extent of exempt income earned by the assessee and ordered accordingly. - Decided partly in favour of assessee
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