https://www.taxtmi.com/caselaws?id=288028 ITAT Chandigarh held that disallowance under section 14A read with Rule 8D cannot exceed the exempt dividend income actually earned by the assessee. Where only a small amount of tax-free income was received, the Assessing Officer's larger disallowance was not sustainable. Applying the settled principle that the disallowance must be confined to expenditure attributable to exempt income, the Tribunal restricted the disallowance to the amount of exempt income received and the Revenue's challenge failed. en-us Mon, 23 Apr 2018 00:00:00 +0530 Thu, 14 Nov 2024 12:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=288028 ITAT Chandigarh held that disallowance under section 14A read with Rule 8D cannot exceed the exempt dividend income actually earned by the assessee. Where only a small amount of tax-free income was received, the Assessing Officer's larger disallowance was not sustainable. Applying the settled principle that the disallowance must be confined to expenditure attributable to exempt income, the Tribunal restricted the disallowance to the amount of exempt income received and the Revenue's challenge failed. Case-Laws Income Tax Mon, 23 Apr 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=288028