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2020 (2) TMI 1645 - AT - Income TaxDisallowance u/s. 14A r.w.r. Rule 8D - similar addition while computing book profit u/s. 115JB - CIT-A deleted the addition - HELD THAT:- It is undisputed fact that assessee has neither earned any exempt income nor claimed any exempt income during the year under consideration. On perusal of the decision of ld. CIT(A), it is noticed that the impugned addition has been deleted holding that assessee has not earned any exempt income which based on similar facts discussed in appellate order in the case of the assessee itself for assessment year 2014-15. While deleting the aforesaid addition, the ld. CIT(A) has also placed reliance on the decision of Hon’ble Gujarat High Court in the case of Corrteck Energy Pvt. Ltd [2014 (3) TMI 856 - GUJARAT HIGH COURT] on identical disallowance u/s. 14A wherein it has been held that where the assessee has not made claim for exemption of any income from payment of tax no disallowance could be made u/s. 14A of the act. Also noticed that ld. CIT(A) has also held that disallowance u/s. 14A does not call for addition to book profit u/s. 115JB of the act after following the decision of ACIT vs. Vineet Investment Pvt. Ltd. [2017 (6) TMI 1124 - ITAT DELHI] as held that expenditure incurred to exempt income not to be added for computing book profit u/s. 115JB of the act. Considering the above facts and judicial findings, we do not find any reason to interfere in the decision of ld. CIT(A) - Decided against revenue.
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