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2017 (11) TMI 1235 - AT - Income TaxDisallowance u/s 14A r.w. Rule 8D - Held that:- We find ourselves in agreement with the proposition that if sufficient interest-free funds are available for making the investment in exempt income, disallowance u/s 14A is not justified. See CIT v. Reliance Utility & Power Limited (2009 (1) TMI 4 - BOMBAY HIGH COURT ) Furthermore, the assessee’s plea that assessee has not actually incurred any expenditure in earning the said exempt income also needs consideration in view of the Hon’ble Apex Court decision in the case of Godrej & Boyce Mfg. Co. v. DCIT (2017 (5) TMI 403 - SUPREME COURT OF INDIA ) In view of the aforesaid discussion, in our considered opinion, the issue is to be remitted to the file of the Assessing Officer to consider the issue afresh keeping in mind the discussion hereinabove and the case laws referred above. Needless to add, the assessee should be granted adequate opportunity of being heard. - Decided in favour of assessee for statistical purposes.
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