https://www.taxtmi.com/caselaws?id=440405 Disallowance under section 14A read with Rule 8D is not sustainable where no exempt income is earned during the year, because the computation provision has no operative in the absence of exempt income. Interest disallowance on advances to a subsidiary is also unwarranted where the assessee's interest-free funds exceed the advances, since the advance is presumed to have been made from those funds rather than borrowed money. On these facts, both proposed disallowances were deleted and the assessee obtained full relief. en-us Fri, 14 Jul 2023 00:00:00 +0530 Mon, 17 Jul 2023 10:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=440405 Disallowance under section 14A read with Rule 8D is not sustainable where no exempt income is earned during the year, because the computation provision has no operative in the absence of exempt income. Interest disallowance on advances to a subsidiary is also unwarranted where the assessee's interest-free funds exceed the advances, since the advance is presumed to have been made from those funds rather than borrowed money. On these facts, both proposed disallowances were deleted and the assessee obtained full relief. Case-Laws Income Tax Fri, 14 Jul 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=440405