https://www.taxtmi.com/caselaws?id=445971 The ITAT Surat partly allowed the assessee's appeal regarding disallowance under section 14A read with Rule 8D. The AO had disallowed Rs. 2.70 crore against total administrative expenses of Rs. 79.58 lakhs on turnover of Rs. 127.39 crore. The ITAT held that disallowance under section 14A cannot consume entire administrative expenses incurred for earning taxable income. The tribunal directed that 1% of dividend income, direct expenses, and 25% of director's remuneration would suffice for disallowance purposes. Regarding section 80G deduction, the ITAT upheld CIT(A)'s decision allowing 50% deduction on donations to registered trusts, finding the order based on proper verification of facts. en-us Mon, 20 Nov 2023 00:00:00 +0530 Thu, 23 Nov 2023 07:36:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=445971 The ITAT Surat partly allowed the assessee's appeal regarding disallowance under section 14A read with Rule 8D. The AO had disallowed Rs. 2.70 crore against total administrative expenses of Rs. 79.58 lakhs on turnover of Rs. 127.39 crore. The ITAT held that disallowance under section 14A cannot consume entire administrative expenses incurred for earning taxable income. The tribunal directed that 1% of dividend income, direct expenses, and 25% of director's remuneration would suffice for disallowance purposes. Regarding section 80G deduction, the ITAT upheld CIT(A)'s decision allowing 50% deduction on donations to registered trusts, finding the order based on proper verification of facts. Case-Laws Income Tax Mon, 20 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=445971