https://www.taxtmi.com/caselaws?id=445496 The ITAT Chennai allowed the assessee's appeal and dismissed the Revenue's appeal. For disallowance under section 14A, the tribunal restricted interest disallowance to Rs. 51,29,547 for AY 2012-13 and directed no disallowance for AY 2013-14, finding sufficient interest-free funds exceeded investments generating exempt income. The tribunal allowed interest claims on advances to subsidiaries, recognizing them as business-related expenditure due to common management and business expansion. Transfer pricing adjustment on barite-lumps was deleted as the comparable uncontrolled price method was inappropriate for single transaction comparison, and margin difference fell within permissible 5% variation. Disallowance under section 40(a)(ia) for compensatory charges was deleted as payments to APMDC were compensatory in nature, not interest requiring TDS deduction. en-us Wed, 11 Oct 2023 00:00:00 +0530 Thu, 09 Nov 2023 08:50:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=445496 The ITAT Chennai allowed the assessee's appeal and dismissed the Revenue's appeal. For disallowance under section 14A, the tribunal restricted interest disallowance to Rs. 51,29,547 for AY 2012-13 and directed no disallowance for AY 2013-14, finding sufficient interest-free funds exceeded investments generating exempt income. The tribunal allowed interest claims on advances to subsidiaries, recognizing them as business-related expenditure due to common management and business expansion. Transfer pricing adjustment on barite-lumps was deleted as the comparable uncontrolled price method was inappropriate for single transaction comparison, and margin difference fell within permissible 5% variation. Disallowance under section 40(a)(ia) for compensatory charges was deleted as payments to APMDC were compensatory in nature, not interest requiring TDS deduction. Case-Laws Income Tax Wed, 11 Oct 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=445496