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2021 (5) TMI 717 - ITAT HYDERABADDisallowance u/s 14A of notional expenditure - AR submitted before us that the Ld. CIT (A) has not decided the issue with respect to addition made invoking the provisions of section 14A of the Act while computing taxable income under the normal provisions of the Act - also the issue in the assessment order U/s. 154 of the Act was with respect to the addition made invoking the provision of section 14A of the Act while computing the taxable income U/s. 115JB of the Act and hence, not related to the issue which was before the Ld. CIT (A) - HELD THAT:- With respect to the arguments advanced by the ld. AR dismissing the appeal of the assessee by the ld. CIT (A) by treating the appeal to be infructuous, we find merit in the same. The issue in the appeal against the order U/s. 154 of the Act was with respect to invoking the provisions of section 14A of the Act by computing the taxable income of the assessee U/s. 115JB of the Act. Therefore, we do not find it to be of any relevance with respect to the issue raised in the appeal before the Ld. CIT (A) which is on invoking the provisions of section 14A of the Act while computing the taxable income under the normal provisions of the Act. Hence, it is evident that the Ld. CIT (A) has not addressed the ground raised in the appeal. However as per on an earlier occasion on the identical issue of invoking the provisions of section 14A of the Act while computing the taxable income under the normal provisions of the Act, we hereby remit the matter back to the file of the ld. AO to verify whether the assessee had made the entire investment in its sister-concerns out of its non-interest-bearing funds and if found so, delete the addition made invoking the provisions of section 14A of the Act and if found otherwise, pass appropriate order in accordance with law and merit. Accordingly, both the relevant grounds raised in the appeal are disposed off.
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