TMI Blog2019 (2) TMI 2089X X X X Extracts X X X X X X X X Extracts X X X X ..... AT:- As demonstrated from the material on record that the assessee was having sufficient interest free fund in the form of share capital and free reserves as against the investment made from which exempt income was earned. After considering the decision of Reliance Utilities Power Ltd, [ 2009 (1) TMI 4 - BOMBAY HIGH COURT] we consider that there was no merit in disallowing the interest expense ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... st the decision of ld. CIT(A) in confirming the action of the assessing officer in disallowing Rs. 40,77,207/- u/s. 14A r.w. Rule 8D of the IT Rule , 1962. 3. The fact in brief is that during the course of assessment proceedings, the assessing officer noticed that assessee company has shown dividend of Rs. 1,70,27,593/- claiming as exempt u/s. 10(34) of the IT act and also claimed expenses on a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ). The ld. CIT(A) has dismissed the appeal of the assessee. 5. During the course of appellate proceedings before us, ld. counsel has contended that assessee company was having sufficient interest free fund for making investment and ld. CIT(A) has erred in sustaining the impugned addition made by the assessing officer. On the other hand the Ld. DR has placed reliance on the order of the lower au ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5.97 times 7.13 times In this connection, the ld. counsel has also placed reliance on following judicial pronouncements:- CIT vs. Torrent Power Ltd. - 363 ITR 474 (Guj.) CIT vs. Suzlon Energy Ltd. - 354 ITR 630 (Guj) CIT vs. Gujarat Power Corporation Ltd. - 352 ITR 583 (Guj) CIT vs. Hitachi Home Life Solutions (I). Ltd. - (2014) 4 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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