https://www.taxtmi.com/caselaws?id=366478 The ITAT partially allowed the Revenue's appeal in a case concerning disallowance of expenses related to exempt income under section 14A of the Income Tax Act. The ITAT upheld the CIT(A)'s decision to restrict the disallowance to the extent of dividend income earned from Mutual Funds. However, it reversed the exclusion of strategic investment from the disallowance and directed the AO to disallow interest expenses incurred on the strategic investment. The ITAT also directed the AO to restrict the disallowance of interest expenses to the extent of net interest only, emphasizing consideration on a net basis. en-us Fri, 31 Aug 2018 00:00:00 +0530 Wed, 05 Sep 2018 10:11:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=366478 The ITAT partially allowed the Revenue's appeal in a case concerning disallowance of expenses related to exempt income under section 14A of the Income Tax Act. The ITAT upheld the CIT(A)'s decision to restrict the disallowance to the extent of dividend income earned from Mutual Funds. However, it reversed the exclusion of strategic investment from the disallowance and directed the AO to disallow interest expenses incurred on the strategic investment. The ITAT also directed the AO to restrict the disallowance of interest expenses to the extent of net interest only, emphasizing consideration on a net basis. Case-Laws Income Tax Fri, 31 Aug 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=366478