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2017 (2) TMI 1016 - ITAT MUMBAIDisallowance of depreciation on brands u/s 32(1)(ii) - Held that:- We find that in the case of assessee for the A.Y. 2005-06 [2016 (4) TMI 1193 - ITAT MUMBAI] held that brand name is an intellectual property right similar to knowhow, patents, trademarks and therefore the same is eligible for depreciation under section 32(1)(ii). - Decided in favour of assessee Disallowance u/s 14A r.w.r. 8D - Held that:- We find that the assessee has not filed the relevant documents to prove his points that the amount invested in mutual funds are not from the overdraft / cash credit account which have been used towards working capital requirements. The learned counsel has also not filed the relevant documents to prove his points that no expenses has been incurred to earn the exempt income. Even a copy of the balance sheet has not been filed by him before the Tribunal to establish his argument. We also find that the learned CIT(A) has noted that the assessee had not given any details to work out the direct nexus of the interest expenditure related to the exempt income which was not included in the taxable income. Further it is found that during the A.Y. 2007-08, the AO had made addition on similar ground which was deleted by the learned CIT(A) and the ITAT in favour of the assessee. However, Rule 8D was notified by the IT (Fifth Amdt.) Rules, 2008 w.e.f. 24-03-2008. The Hon'ble Bombay High Court in the case of Godrej & Boyce Mfg. Co. Ltd. vs. Dy. CIT (2010 (8) TMI 77 - BOMBAY HIGH COURT) has held that Rule 8D is applicable w.e.f. 2008-2009. We are concerned here with the A.Y. 2009-10 and 2010-11. Thus we set aside the order of the learned CIT(A) on disallowance made u/s 14A r.w.r. 8D and restore the same to the file of the AO to make a fresh assessment as per the provisions of the Act
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