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2017 (7) TMI 1277 - GUJARAT HIGH COURTDisallowance u/s. 14A - expenditure in terms of section 14A r.w.r. 8D cannot exceed the exempt income itself - HELD THAT:- The assessee had earned exempt income of ₹ 55,604/-. As against that, the Assessing Officer had worked out the disallowance of expenditure under section 14A read with Rule 8D to ₹ 1,02,82,049/-. The Tribunal, while restricting the disallowance to ₹ 55,604/-, relied on the decision of Delhi High Court in case of Joint Investments (P) Ltd vs. CIT [2015 (3) TMI 155 - DELHI HIGH COURT] holding that disallowance of expenditure in terms of section 14A read with Rule 8D cannot exceed the exempt income itself. Our High Court has also adopted the similar view in case of Commissioner of Income Tax vs. Corrtech Energy Pvt. Ltd. [2014 (3) TMI 856 - GUJARAT HIGH COURT.]
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