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2017 (12) TMI 1002 - AT - Income TaxAddition u/s 14A r.w.r. 8D - sufficiency of own funds - Held that:- The assessee has made investment out of its own funds which are sufficient to cover the value of investment, in that case, no disallowance of interest is required to be made under section 14A of the Act read with Rule 8D(2)(ii) of the Rules. When this was confronted to the learned Sr. Departmental Representative, he fairly conceded the position. As the issue is squarely covered in favour of the assessee, respectfully following the Hon’ble Bombay High Court in the case of HDFC Bank (2014 (8) TMI 119 - BOMBAY HIGH COURT ), we allow this issue of assessee’s appeal. Disallowance of administrative expense under Rule 8D(2)(iii) - Held that:- When a query was put to the learned Counsel that once the assessee itself has disallowed the sum of ₹ 37,38,476/-, Ld Counsel narrated that there is no estoppel against law and the income wrongly declared under wrong notion or under mistaken notion can be deleted. Thus we restrict the disallowance at ₹ 3,32,645/- being administrative expense under Rule 8D(2)(iii) of the Income Tax Rules. See case of Tata Industries Ltd. [2016 (7) TMI 1011 - ITAT MUMBAI]
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