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TMI Blog2022 (3) TMI 1197X X X X Extracts X X X X X X X X Extracts X X X X ..... inter alia that:- "1. Whether on the facts and in the circumstances of the case and in law, the Ld. CIT (A) is correct in deleting the disallowance U/S.14A read with Rule 8D stating that Assessee's own funds were more than investment made and not considering that the decision of the Hon'ble Supreme Court in para 42 of their decision in the case of M/s. Maxopp Investment Ltd. vs. CIT in Civil Appeal No. 104- 109 of 2015 dated 12/02/2018, have upheld the principle of apportionment in cases where the assessee has mixed funds and interest has been paid? 2. Whether on the facts and in the circumstances of the case and in law, the Ld. C1T(A) was justified in directing the AO to allow the claim of set-off of long term capital loss on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng Term Capital Loss (LTCL) of Rs. 3,13,21,338/- against Long Term Capital Gain (LTCG) of Rs. 7,58,23,341/- on the ground that the income includes loss. 3. Assessee carried the matter before the Ld. CIT(A) by way of filing appeal who has allowed the appeal filed by the assessee. Feeling aggrieved from the impugned order passed by the Ld. CIT(A), the Revenue has come up before the Tribunal by way of filing the present appeal. 4. We have heard the Ld. Authorised Representatives of the parties to the appeal, perused the orders passed by the Ld. Lower Revenue Authorities and documents available on record in the light of the facts and circumstances of the case and law applicable thereto. Ground No.1 5. The AO made disallowance of Rs. 2,41,55 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant. The relevant extract of the above order is reproduced here as below:- "7. Whereas the Ld. AR, on the other hand, laid stress on the non recording of the satisfaction by the AO which is mandatory requirement for invoking the provision of section 14A read with rule 8D. The Id. AR further submitted that the interest income during the year as shown in schedule J was Rs. 57,83,581/- whereas the interest on finance charges were to the tune of Rs.35,76,574/- thus resulting into net income at Rs.22,07,007/- and further contended that when there is a net positive interest income no disallowance of interest expenses is required to be made. To support his contentions, the Ld. AR relied on the decision of a couple of decision namely; CIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... disallowance of Rs. 2,31,057/- u/s 14A r.w. rule 8D. This ground of appeal is allowed." 7. Undisputedly, the assessee company has claimed exempt dividend income to the tune of Rs. 1,18,642/- under section 10(34) of the Act by making suo-moto disallowance of Rs. 10,500/- under section 14A of the Act @ 0.5% of the average investment. It is also not in dispute that no new investment in shares has been made by the assessee company during the year under assessment, which was reduced from Rs. 2,64,96,898/- to Rs. 16,09,369/-. 8. The Ld. A.R. for the assessee contended that since there is no new investment in shares made by the assessee company during the year under assessment disallowance interest in respect of expenses as per Rule 8D(ii) is n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sequent years profit, if any. The directions not issued by learned AO while computing the total income. The same may kindly be allowed for carried forward and oblige." 3.3.2 These grounds relate to carry forward of speculation loss of Rs. 5,78,31,865/-. The AO is directed to verify the amount of speculation loss in accordance with law in consequence of this order subject to the condition that they may be allowed to be set-off only against any speculation income in future. These grounds are allowed for statistical purposes." 12. When the assessee company has merely sought direction from the Ld. CIT(A) for allowing of carry forward of speculation loss of Rs. 5,78,31,865/- on the commodity exchange during the year and claimed carry forward ..... X X X X Extracts X X X X X X X X Extracts X X X X
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