Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (3) TMI 1164 - AT - Income TaxDisallowance u/s.14A - AO noticed that assessee had borrowed money from various parties and interest thereof - HELD THAT:- We find that various Courts as well as Tribunals have taken a consistent view that when assessee has not made any claim for exemption of any income from the payment of tax, therefore, there cannot be any disallowance u/s.14A of the Act. In this respect, we also relied upon the decision of Hon’ble Delhi High Court in the case of Cheminvest Ltd. CIT [2015 (9) TMI 238 - DELHI HIGH COURT] wherein it was held that section 14A of the Act envisages that there should be an actual receipt of income which is not includible in total income. Since in the present case also, the assessee has not made any claim for exemption of any income from payment of tax, therefore while relying upon the decision(s) in the case of Cheminvest Ltd. vs. CIT(supra) and CIT vs. Corrtech Energy (P.) Ltd. [2014 (3) TMI 856 - GUJARAT HIGH COURT] we are also of the view that no disallowance u/s.14A of the Act ought to have been made by the Ld.AO. - Decided in favour of assessee.
|