TMI Blog2019 (8) TMI 44X X X X Extracts X X X X X X X X Extracts X X X X ..... haudhary Arun Kumar Singh (Sr. AR) ORDER PER AMARJIT SINGH, JM: The revenue has filed the present appeal against the order dated 12.12.2017 passed by the Commissioner of Income Tax (Appeals) -22, Mumbai [hereinafter referred to as the CIT(A) ] relevant to the A.Y.2014-15. 2. The revenue has raised the following grounds: - 1. Whether on the facts and in the circumstances of the case Ld. CIT(A) was justified in relying o the precedents cited which were distinguishable in as much as they were rendered in cases decided prior to introduction of rule 8D or prior to clarification issued by CBDT Circular No. 5 of 2014. 2. The appellant prays that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e 8D of the Act, therefore, the revenue has filed the present appeal before us. 4. We have heard the arguments advanced by the Ld. Representative of the parties and perused the record. The Ld. Representative of the revenue has argued that the CIT(A) has wrongly deleted the addition raised in view of the provisions u/s 14A r.w. Rule 8D of the Act, therefore, the finding of the CIT(A) is not justifiable, hence, is liable to be set aside. However, on the other hand, the Ld. Representative of the assessee has refuted the said contention and argued that the assessee nowhere earn any exempt income, therefore, the CIT(A) has rightly deleted the addition in accordance with law. Before going further, we deem it necessary to advert the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tal income in Section 14A of the envisages that there should be an actual receipt of income, which is not includible in the total income, during the relevant previous year for the purpose of disallowing any expenditure incurred in relation to the said income. In other words, Section 14A will not apply if no exempt income is received or receivable during the relevant previous year. In view of the legal position on the issue as discussed above, the disallowance made by the Assessing Officer u/s 14A of the Act is deleted. Consequently, the adjustment made to the book profit U/s 115JB on account of disallowance u/s 14A also does not survive. The appellant's ground of appeal is allowed. 5. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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