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2024 (4) TMI 193 - AT - Income TaxDisallowance u/s 14A - as argued no expense has been incurred to earn such exempt income - assessee has suo-moto disallowed expenses to the extent exempt income earned during the year - HELD THAT:- Since the exempt income earned has already been offered for tax by the assessee, no disallowance in this regard is called for. Accordingly, following the above precedent in the case of Cheminvest Ltd. [2015 (9) TMI 238 - DELHI HIGH COURT] has held that disallowance under section 14A should be restricted to the exempt income earned we set aside the orders of the authorities below and decide the issue in favour of the assessee. Allowance of depreciation on Canter used for supply of goods to customers - @ 15% OR @ 30% - AO made the disallowance on the ground that the assessee was not engaged in the business of running the vehicles on hire, hence, allowed depreciation on canters @ 15% - HELD THAT:- It is undisputed that vehicles used are not hired for running but were used for assessee’s own business. There is no hire income shown in the profit and loss account to reflect any hire charges received. In these circumstances, in our considered view, authorities below have passed well-reasoned order which does not require any interference on our part. Accordingly, we affirm the same on this issue. Decided against assessee.
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