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2016 (9) TMI 553 - HC - Income TaxAddition u/s 14A - Discharge of the burden that interest free fund far exceeds the value of investment - Held that:- The burden is upon the assessee to show and prove that interest free fund far exceeds the value of investment and thereafter, to justify the quantification of amount of ₹ 4 lakhs towards disallowance for the exempted income. In the present case, the said burden has not been discharged satisfactorily and thereafter, the assessing officer has proceeded to apply the formula provided under Section 8D(2)(iii) read with Section 14-A of the Act. Discharge of the burden is essentially a question of fact. The authority up to the level of Tribunal has recorded finding of fact for non-discharge of burden by appellant-asses see. So far as applicability of Section 14-A read Rule 8D(2)(iii) is concerned when the assessee has failed to discharge the burden of proving quantification of the amount for disallowance towards exempted income, there would be hardly any scope for consideration of the matter as any substantial questions of law. The aforesaid is coupled with the aspects as referred by us hereinabove that the finding of fact for non-discharge of the burden which is upto the level of the Tribunal which is the ultimate fact finding authority, has remained final. The finding of fact in our view is outside the scope of judicial scrutiny in the present appeal. Thus we find that the decision upon which the reliance has been placed is of no help because the assessee in the present case has not been able to prove that the interest free fund far exceeded the value of investment and further if such was the position, there was no question of disallowance but in the present case, even as per the assessee, the amount of ₹ 4 lakhs was quantified.
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