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2017 (9) TMI 1148 - AT - Income TaxAddition on account of disallowance u/s 14A r.w.r 8D - Held that:- By following the law laid down by Hon’ble Apex Court in judgment cited as Godrej & Boyce Manufacturing Company Ltd. (2017 (5) TMI 403 - SUPREME COURT OF INDIA) and Maxopp Investment Ltd. (2011 (11) TMI 267 - Delhi High Court) we are of the considered view that the findings returned by AO that, “disallowance u/s 14A is to be made even if no exempt income has resulted or earned by the assessee during the year under consideration” is no longer a good law in view of the judgment rendered by Hon’ble Delhi High Court in Holcim India Pvt. Ltd. (2014 (9) TMI 434 - DELHI HIGH COURT) and Godrej & Boyce Manufacturing Company Ltd. (supra) wherein it is categorically held that where the assessee has not earned any dividend income forming part of the total income during the year under assessment, section 14A read with Rule 8D is not attracted. AO proceeded to invoke section 14A read with Rule 8D without recording his dis-satisfaction. So, in these circumstances, the ld. CIT (A) by considering all these facts rightly deleted the addition. So, finding no illegality or perversity in the order of the ld. CIT (A), we hereby dismiss the appeal filed by the Revenue.
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