https://www.taxtmi.com/caselaws?id=198982 The Tribunal allowed the appellant's appeal, ruling that the disallowance under section 14A based on Rule 8D computation was not justified. The Tribunal held that proportionate disallowance under Rule 8D(2)(ii) was unwarranted as the own capital with reserves exceeded the investment in mutual funds. Additionally, the Tribunal found that the dividend income from mutual funds included administrative expenses and differed from direct share investments, leading to the disallowance being vacated. The decision emphasized the reasonableness required by section 14A in disallowing expenses related to exempt income. en-us Wed, 30 Nov 2016 00:00:00 +0530 Fri, 16 Feb 2018 07:07:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=198982 The Tribunal allowed the appellant's appeal, ruling that the disallowance under section 14A based on Rule 8D computation was not justified. The Tribunal held that proportionate disallowance under Rule 8D(2)(ii) was unwarranted as the own capital with reserves exceeded the investment in mutual funds. Additionally, the Tribunal found that the dividend income from mutual funds included administrative expenses and differed from direct share investments, leading to the disallowance being vacated. The decision emphasized the reasonableness required by section 14A in disallowing expenses related to exempt income. Case-Laws Income Tax Wed, 30 Nov 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=198982