https://www.taxtmi.com/caselaws?id=329377 The Tribunal held that the Assessing Officer (AO) has discretion to substitute the computation of disallowance made by the assessee under Section 14A of the Income Tax Act. Rule 8D should be a measure of last resort, and the AO's satisfaction includes the authority to make reasonable substitutions. The Tribunal quashed the order under Section 263, emphasizing that Rule 8D should not be applied automatically. The decision clarified the interpretation and application of Rule 8D in computing disallowances under Section 14A. en-us Wed, 01 Jun 2016 00:00:00 +0530 Wed, 22 Jun 2016 15:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=329377 The Tribunal held that the Assessing Officer (AO) has discretion to substitute the computation of disallowance made by the assessee under Section 14A of the Income Tax Act. Rule 8D should be a measure of last resort, and the AO's satisfaction includes the authority to make reasonable substitutions. The Tribunal quashed the order under Section 263, emphasizing that Rule 8D should not be applied automatically. The decision clarified the interpretation and application of Rule 8D in computing disallowances under Section 14A. Case-Laws Income Tax Wed, 01 Jun 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=329377