TMI Blog2023 (8) TMI 1401X X X X Extracts X X X X X X X X Extracts X X X X ..... his issue of disallowance of interest u/r 8D (2) is remanded back to the file of AO to decide this issue afresh even though assessee might have suo-moto offered disallowance which now has been claimed that no disallowance should be made in view of the decision of South Indian Bank Ltd [ 2021 (9) TMI 566 - SUPREME COURT] has held that assessee has surplus funds and no disallowance of interest can be made. - SHRI AMIT SHUKLA, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER For the Assessee : Shri Jahengir D Mistry/Ms.Manshi Padhiar/Ms. Ayushi Modani For the Revenue : Shri Zain Vayal Parambath ORDER PER AMIT SHUKLA (J.M): The aforesaid appeal was heard by this Tribunal and order was passed vide order da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itute mistake parent from record in the order of this Tribunal within the meaning of section 254(2) of the Act. When this was put to Ld. DR, the Ld.DR fairly agreed for recalling of this order for this limited extent. Accordingly, we deem it fit to recall the order passed by this Tribunal for the limited purpose of adjudication of additional ground Nos. 1 and 2 raised by the assessee with regard to deletion of suo-moto disallowance of interest made under second limb of Rule 8D(2) of the Rules. 3. With regard to another ground raised by the assessee for allowability of provision for leave salary /compensated absence as per actuarial valuation of Rs. 3,49,36,683 u/s 438(f) of the Act, we find that this Tribunal had adjudicated the alternat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... recalled. However, we had already adjudicated the issue on the alternative contention raised by the Ld. AR, while disposing off the appeal, which also would be required to be recalled in order to have a single uniform decision on the impugned issue. Hence, we deem it fit and appropriate to recall the order passed by this Tribunal in entirety with regard to ground No. 3 of original grounds of appeal. 5. In the result, the Miscellaneous Application Assessee is allowed in the aforesaid terms. 2. We find that in so far as the issue relating to Section 14A has been dealt by the Tribunal vide its order dated 20/12/2019, wherein the Tribunal has adjudicated this issue after observing as under:- 2.7. From the above, it could be seen that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... egard to disallowance of interest u/s. 14A r.w. Rule 8D(2)(ii). Originally assessee has received dividend income of Rs. 16,81,44,106/- and has made suomoto disallowance u/s. 14A of Rs. 83,04,00,000/- which constitute the following:- Interest on specific borrowings Rs. 59.66 Crores Interest on general borrowings Rs. 20.36 Crores Direct/Indirect expenses Rs. 3.02 Crores Total Rs. 83.04 Crores 4. The ld. AO had made further disallowance under Rule 8D(2)(iii) of Rs. 22.46 Crores and after giving benefit of the disallowance of Rs. 3.02 Crores offered by the assessee under Rule 8 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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