https://www.taxtmi.com/caselaws?id=256355 Rule 8D(2)(ii) could not be applied where no interest expenditure was shown to have been incurred for earning exempt income, so the interest-related disallowance under section 14A was deleted, while the administrative disallowance under Rule 8D(2)(iii) was sustained. Interest on fixed deposits placed by a non-banking financial company as a temporary, business-linked arrangement was treated as business income, not income from other sources, because the funds remained integrally connected with business activity. Erroneous income figures required recomputation on a fresh basis, and admission of the additional ground was upheld because it raised a legal issue and no procedural illegality was shown. en-us Fri, 21 Nov 2014 00:00:00 +0530 Wed, 11 Feb 2015 09:55:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=256355 Rule 8D(2)(ii) could not be applied where no interest expenditure was shown to have been incurred for earning exempt income, so the interest-related disallowance under section 14A was deleted, while the administrative disallowance under Rule 8D(2)(iii) was sustained. Interest on fixed deposits placed by a non-banking financial company as a temporary, business-linked arrangement was treated as business income, not income from other sources, because the funds remained integrally connected with business activity. Erroneous income figures required recomputation on a fresh basis, and admission of the additional ground was upheld because it raised a legal issue and no procedural illegality was shown. Case-Laws Income Tax Fri, 21 Nov 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=256355