https://www.taxtmi.com/caselaws?id=264728 The Appellate Tribunal ITAT Mumbai addressed the disallowance issues under section 14A of the Income Tax Act for the assessment year 2006-07 and the disallowance of finance charges paid to the bank for securing finance. The Tribunal held that the disallowance under section 14A is not mandatory, and the burden of proof rests with the assessee to demonstrate no expenditure related to tax-exempt income was incurred. Regarding finance charges, the Tribunal ruled that the charges were not interest costs but rather revenue expenditures, leading to the deletion of the disallowance. The appeal was partly allowed in favor of the assessee. en-us Fri, 07 Nov 2014 00:00:00 +0530 Thu, 01 Oct 2015 11:55:54 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=264728 The Appellate Tribunal ITAT Mumbai addressed the disallowance issues under section 14A of the Income Tax Act for the assessment year 2006-07 and the disallowance of finance charges paid to the bank for securing finance. The Tribunal held that the disallowance under section 14A is not mandatory, and the burden of proof rests with the assessee to demonstrate no expenditure related to tax-exempt income was incurred. Regarding finance charges, the Tribunal ruled that the charges were not interest costs but rather revenue expenditures, leading to the deletion of the disallowance. The appeal was partly allowed in favor of the assessee. Case-Laws Income Tax Fri, 07 Nov 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=264728