https://www.taxtmi.com/caselaws?id=409949 The Tribunal upheld the disallowance of Rs. 17,89,428 under section 14A read with Rule 8D(2)(iii) due to investments in Mutual Funds earning exempt dividend income. The disallowance under Rule 8D(2)(ii) was deleted as no borrowed funds were used, but Rule 8D(2)(iii) disallowance was upheld based on the average value of investments. The Tribunal emphasized the need for the assessee to compute actual expenditure for such investments and remitted the matter back to the AO for proper assessment, warning of consequences for lack of cooperation. The appeal was allowed for statistical purposes. en-us Tue, 15 Jun 2021 00:00:00 +0530 Wed, 21 Jul 2021 10:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=409949 The Tribunal upheld the disallowance of Rs. 17,89,428 under section 14A read with Rule 8D(2)(iii) due to investments in Mutual Funds earning exempt dividend income. The disallowance under Rule 8D(2)(ii) was deleted as no borrowed funds were used, but Rule 8D(2)(iii) disallowance was upheld based on the average value of investments. The Tribunal emphasized the need for the assessee to compute actual expenditure for such investments and remitted the matter back to the AO for proper assessment, warning of consequences for lack of cooperation. The appeal was allowed for statistical purposes. Case-Laws Income Tax Tue, 15 Jun 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=409949