TMI Blog2016 (12) TMI 1749X X X X Extracts X X X X X X X X Extracts X X X X ..... as not made disallowance out of other administrative expenses, even though there was fresh investments in Mutual funds and further there has been activities of purchase and sale of mutual fund units. Considering the activity involved in the investment portfolio of the assessee, we are of the view that a portion of other administrative expenses should also be allocated towards the investment activities. We are of the view that the disallowance u/s 14A may be reasonably estimated at ₹ 50,000/- and the same would take care of other administrative expenses and would meet the requirements of sec. 14A. We set aside the order passed by the learned CIT(A) on this issue and direct the Assessing Officer to restrict the addition to ₹ 50,00 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he disallowance u/r. 8D(2)(iii) of the I.T. Rules. At ₹ 16,73,028/-. The same was confirmed by the learned CIT(A) and hence the assessee has filed this appeal before us. 3. We have heard the parties on this issue and perused the record. Learned counsel appearing for the assessee submitted that identical issue was considered by the Coordinate Bench of the Tribunal in assessee s own case related to AY 2008-09 (in ITA No. 6788/Mum/2011 and the Tribunal, vide its order dated 29.5.2015, has deleted the identical disallowance made by the Assessing Officer. Learned AR further invited our attention to the Schedule of investments placed at page No. 26 of the paper book. A perusal of the same would show that the assessee has invested major a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able to be dismissed on this ground also. 4. On the contrary, learned Departmental Representative submitted that the Assessing Officer was required to apply provisions of Rule 8D for computing disallowance u/s. 14A of the Act. 5. Having heard the rival submissions, we find merit in the contentions of the assessee. From the Schedule of investments given at page No. 26 of the paper book, we noticed that entire amount of investments made in equity shares (subsidiary companies and other companies) have been brought forward from earlier year, meaning thereby, no movement in these investment found was during the year under consideration. Other investments made by the assessee consisted of investments made in various schemes of different mut ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee by following decision rendered by the Coordinate Bench in assessee s own case relating to A.Y. 2006-07 (ITA No. 849/Mum/2010 dated 13.3.2013). For the sake of convenience, we extract below the observations made by the learned CIT(A) on this issue : I have considered the Submissions of the appellant and perused the materials available on record. It is found that the issue under appeal stands covered in favour of the appellant by the aforesaid orders of Hon'ble ITAT Mumbai bench in its own case. The relevant extract of the order of Honh1e Tribunal dated 13.03.2013 is reproduced below: We have care folly considered the rival submissions in the light of the material placed before us. It is a question of allowance of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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