https://www.taxtmi.com/caselaws?id=119845 The Tribunal concluded that the car and professional expenses incurred by the assessee, who is an Advocate and a partner in a partnership firm, were related to both taxable remuneration and exempt profit. It directed the AO to re-compute the disallowance of these expenses on a pro-rata basis, considering the ratio of exempt to taxable income. The disallowance under Section 14A should apply to 80% of the expenses, as the assessee had already disallowed 20% for personal use. The assessee's appeal was dismissed, while the Revenue's appeal was partly allowed, with instructions for recalculation. en-us Mon, 30 Oct 2006 00:00:00 +0530 Thu, 15 Feb 2024 15:10:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=119845 The Tribunal concluded that the car and professional expenses incurred by the assessee, who is an Advocate and a partner in a partnership firm, were related to both taxable remuneration and exempt profit. It directed the AO to re-compute the disallowance of these expenses on a pro-rata basis, considering the ratio of exempt to taxable income. The disallowance under Section 14A should apply to 80% of the expenses, as the assessee had already disallowed 20% for personal use. The assessee's appeal was dismissed, while the Revenue's appeal was partly allowed, with instructions for recalculation. Case-Laws Income Tax Mon, 30 Oct 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=119845