Just a moment...

Top
FeedbackReport
×

By creating an account you can:

Logo TaxTMI
>
Feedback/Report an Error
Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters0/2000
Make Most of Text Search
  1. Checkout this video tutorial: How to search effectively on TaxTMI.
  2. Put words in double quotes for exact word search, eg: "income tax"
  3. Avoid noise words such as : 'and, of, the, a'
  4. Sort by Relevance to get the most relevant document.
  5. Press Enter to add multiple terms/multiple phrases, and then click on Search to Search.
  6. Text Search
  7. The system will try to fetch results that contains ALL your words.
  8. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
  9. Text Search
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
❮❮ Hide
Default View
Expand ❯❯
Close ✕
🔎 Case Laws - Adv. Search
TEXT SEARCH:

Press 'Enter' to add multiple search terms. Rules for Better Search

Search In:
Main Text + AI Text
  • Main Text
  • Main Text + AI Text
  • AI Text
  • Title Only
  • Head Notes
  • Citation
Party Name: ?
Party name / Appeal No.
Law:
---- All Laws----
  • ---- All Laws----
  • GST
  • Income Tax
  • Benami Property
  • Customs
  • Corporate Laws
  • Securities / SEBI
  • Insolvency & Bankruptcy
  • FEMA
  • Law of Competition
  • PMLA
  • Service Tax
  • Central Excise
  • CST, VAT & Sales Tax
  • Wealth tax
  • Indian Laws
Courts: ?
Select Court or Tribunal
---- All Courts ----
  • ---- All Courts ----
  • Supreme Court - All
  • Supreme Court
  • SC Orders / Highlights
  • High Court
  • Appellate Tribunal
  • Tribunal
  • Appellate authority for Advance Ruling
  • Advance Ruling Authority
  • National Financial Reporting Authority
  • Competition Commission of India
  • ANTI-PROFITEERING AUTHORITY
  • Commission
  • Central Government
  • Board
  • DISTRICT/ SESSIONS Court
  • Commissioner / Appellate Authority
  • Other
Situ: ?
State Name or City name of the Court
Landmark: ?
Where case is referred in other cases
---- All Cases ----
  • ---- All Cases ----
  • Referred in >= 3 Cases
  • Referred in >= 4 Cases
  • Referred in >= 5 Cases
  • Referred in >= 10 Cases
  • Referred in >= 15 Cases
  • Referred in >= 25 Cases
  • Referred in >= 50 Cases
  • Referred in >= 100 Cases
From Date: ?
Date of order
To Date:
TMI Citation:
Year
  • Year
  • 2025
  • 2024
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010
  • 2009
  • 2008
  • 2007
  • 2006
  • 2005
  • 2004
  • 2003
  • 2002
  • 2001
  • 2000
  • 1999
  • 1998
  • 1997
  • 1996
  • 1995
  • 1994
  • 1993
  • 1992
  • 1991
  • 1990
  • 1989
  • 1988
  • 1987
  • 1986
  • 1985
  • 1984
  • 1983
  • 1982
  • 1981
  • 1980
  • 1979
  • 1978
  • 1977
  • 1976
  • 1975
  • 1974
  • 1973
  • 1972
  • 1971
  • 1970
  • 1969
  • 1968
  • 1967
  • 1966
  • 1965
  • 1964
  • 1963
  • 1962
  • 1961
  • 1960
  • 1959
  • 1958
  • 1957
  • 1956
  • 1955
  • 1954
  • 1953
  • 1952
  • 1951
  • 1950
  • 1949
  • 1948
  • 1947
  • 1946
  • 1945
  • 1944
  • 1943
  • 1942
  • 1941
  • 1940
  • 1939
  • 1938
  • 1937
  • 1936
  • 1935
  • 1934
  • 1933
  • 1932
  • 1931
  • 1930
Volume
  • Volume
  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
TMI
Example : 2024 (6) TMI 204
By Case ID:

When case Id is present, search is done only for this

Sort By: ?
Even if Sort by Date is selected, exact match will be shown on the top.
RelevanceDate
    No Records Found
    ❯❯
    MaximizeMaximizeMaximize
    0 / 200
    Expand Note
    Add to Folder

    No Folders have been created

      +

      Are you sure you want to delete "My most important" ?

      NOTE:

      Case Laws
      Showing Results for :
      Reset Filters
      Results Found:
      AI TextQuick Glance by AIHeadnote
      No Records Found

      Case Laws

      Back

      All Case Laws

      Showing Results for :
      Reset Filters
      Showing
      Records
      ExpandCollapse
        No Records Found

        Case Laws

        Back

        All Case Laws

        Showing Results for : Reset Filters
        Case ID :

        📋
        Contents
        Note

        Note

        Note

        Bookmark

        print

        Print

        Login to TaxTMI
        Verification Pending

        The Email Id has not been verified. Click on the link we have sent on

        Didn't receive the mail? Resend Mail

        Don't have an account? Register Here

        ITAT Limits Disallowance to Exempt Income; Removes Section 14A Addition from Book Profit Calculation u/s 115JB.

        M/s. Welspun Steel Limited Versus DCIT, Central Circle-3 (3), Mumbai

        M/s. Welspun Steel Limited Versus DCIT, Central Circle-3 (3), Mumbai - TMI Issues Involved:
        1. Confirmation and enhancement of disallowance under Section 14A read with Rule 8D.
        2. Inclusion of disallowance under Section 14A in the computation of book profit under Section 115JB.
        3. Levy of interest under Sections 234B and 234C.
        4. Initiation of penalty proceedings under Section 271(1)(c).

        Issue-wise Detailed Analysis:

        Issue No. 1: Confirmation and enhancement of disallowance under Section 14A read with Rule 8D
        The assessee challenged the confirmation of an addition of Rs. 6,00,40,820/- made by the AO under Section 14A read with Rule 8D and further enhancement by Rs. 27,63,67,637/- by the CIT(A). The assessee argued that it had sufficient own funds to cover the investments, citing the case of CIT Vs. HDFC Bank Ltd. (2014) 366 ITR 505 (Bom). The assessee also referred to the provisions of Section 36(1)(iii) and decisions in CIT-III Pune Vs. Sharda Erectors P. Ltd. (2016) 76 taxmann.com 107 (Bom) and M/s. Vardhman Polytex Ltd. Vs. DCIT dated 21.06.2019. The Tribunal observed that the assessee had sufficient surplus funds and investments generating exempt income amounted to Rs. 801,92,49,583/-. It concluded that no disallowance was required under Section 14A read with Rule 8D(ii) based on the presumption that investments were made from interest-free funds. However, for disallowance under Rule 8D(iii), the AO considered 0.5% of the total investment value, amounting to Rs. 4,70,58,853/-. The Tribunal restricted the disallowance to the extent of the exempt income, i.e., Rs. 94,00,147/-, citing Cheminvest Ltd. Vs. CIT 378 ITR 33 (Delhi) and CIT Vs. Holcin India Pvt. Ltd. 486 of 2014 dated 05.09.2014.

        Issue No. 2: Inclusion of disallowance under Section 14A in the computation of book profit under Section 115JB
        The assessee challenged the addition of Rs. 33,64,08,457/- under Section 14A read with Rule 8D in the computation of book profit under Section 115JB. The Tribunal referred to the decision in ACIT Vs. Vireet Investment P. Ltd. (2017) 82 taxmann.com 415 (Del) and noted that Section 14A pertains to Chapter IV and cannot be extended to Section 115JB under Chapter XII-B. The Tribunal emphasized that Section 14A disallowance is confined to computation under the normal provisions and cannot be incorporated into Section 115JB. The Tribunal concluded that no addition under Section 14A should be made in the book profit computation under Section 115JB and deleted the addition.

        Issue No. 3: Levy of interest under Sections 234B and 234C
        The CIT(A) held that the levy of interest under Sections 234B and 234C of the Income Tax Act, 1961, is mandatory. The appellant denied liability for such interest. However, the judgment does not provide further details or analysis on this issue.

        Issue No. 4: Initiation of penalty proceedings under Section 271(1)(c)
        The CIT(A) held that the ground raised disputing the initiation of penalty proceedings under Section 271(1)(c) is premature. The appellant denied liability for such penalty. Similar to the previous issue, the judgment does not provide further details or analysis on this matter.

        Conclusion:
        The appeal filed by the assessee was partly allowed. The Tribunal restricted the disallowance under Section 14A read with Rule 8D to the extent of the exempt income and deleted the addition under Section 14A in the computation of book profit under Section 115JB. The levy of interest and initiation of penalty proceedings were not elaborated upon in the judgment.

        Topics

        ActsIncome Tax
        No Records Found