https://www.taxtmi.com/caselaws?id=219935 The Tribunal partly allowed the appeal, directing a re-examination of the disallowance under section 14A of the Income Tax Act and a recalculation of the disallowed interest expenditure based on interest-free advances. The Tribunal emphasized that expenses related to exempt income must be disallowed even if no income is received, but noted that Rule 8D applies only from the assessment year 2008-09. The disallowance for prior years should be made on a reasonable basis, as per the Bombay High Court's judgment in Godrej and Boyce Mfg. Co. vs. DCIT. en-us Fri, 03 Aug 2012 00:00:00 +0530 Wed, 02 Jan 2013 15:09:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=219935 The Tribunal partly allowed the appeal, directing a re-examination of the disallowance under section 14A of the Income Tax Act and a recalculation of the disallowed interest expenditure based on interest-free advances. The Tribunal emphasized that expenses related to exempt income must be disallowed even if no income is received, but noted that Rule 8D applies only from the assessment year 2008-09. The disallowance for prior years should be made on a reasonable basis, as per the Bombay High Court's judgment in Godrej and Boyce Mfg. Co. vs. DCIT. Case-Laws Income Tax Fri, 03 Aug 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=219935