https://www.taxtmi.com/caselaws?id=449243 ITAT Mumbai allowed the assessee's appeal on multiple grounds. The tribunal held that interest expenditure disallowance was unjustified as the assessee had sufficient share capital and reserves to fund interest-free advances to related parties, following precedent that investment presumption arises from available funds. Sales promotion expenses disallowance was restricted to 15% following similar treatment in preceding year. Section 14A disallowance was deleted as no dividend income was earned during the year, and the 2022 amendment applies prospectively from AY 2022-23 onwards. en-us Mon, 05 Feb 2024 00:00:00 +0530 Wed, 07 Feb 2024 09:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=449243 ITAT Mumbai allowed the assessee's appeal on multiple grounds. The tribunal held that interest expenditure disallowance was unjustified as the assessee had sufficient share capital and reserves to fund interest-free advances to related parties, following precedent that investment presumption arises from available funds. Sales promotion expenses disallowance was restricted to 15% following similar treatment in preceding year. Section 14A disallowance was deleted as no dividend income was earned during the year, and the 2022 amendment applies prospectively from AY 2022-23 onwards. Case-Laws Income Tax Mon, 05 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=449243