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2021 (8) TMI 32 - AT - Income TaxAddition on account of interest chargeable u/s 36(1)(iii) on interest free advances given to group companies - HELD THAT:- We find from the order of the Assessing Officer that most of the investments/advances are continued from last year i.e. assessment year 2012-13, wherein the Tribunal has deleted the disallowance under section 36(1)(iii) of the Act on the ground that advances/interest free loans have been given for business purposes in view of the commercial expediency. The facts of the year under consideration are also identical to facts of the case for assessment year 2011-12. In view of the above, respectfully following the decision of the Tribunal [2018 (6) TMI 1776 - ITAT DELHI] and decision of the Hon’ble Delhi High Court [2019 (1) TMI 1393 - DELHI HIGH COURT] we do not find any infirmity in the order of the Ld. CIT(A) on the issue in dispute and accordingly, we uphold the same. The ground of the appeal of the Revenue is accordingly dismissed. Disallowance u/s 14A r.w.r. 8D - HELD THAT:- In the case of Joint Investment Private Ltd.[2015 (3) TMI 155 - DELHI HIGH COURT] wherein the disallowance has been restricted to the quantum of exempted income earned by the assessee in the relevant year. Before the Assessing Officer, the assessee mentioned that share of profit from partnership firm was claimed as exempt and Ld. CIT(A) has also restricted the disallowance to this amount. Respectfully, following the decision of the Hon’ble Delhi High Court as cited by the Learned Counsel of the assessee, we direct the Assessing Officer to restrict the disallowance under section 14A of the Act to the quantum of exempted income earned by the assessee during the year under consideration. Accordingly, the ground of the appeal of the Revenue is dismissed.
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