https://www.taxtmi.com/caselaws?id=449892 ITAT Delhi allowed the assessee's appeal regarding disallowance under Section 14A read with Rule 8D for dividend income. The AO rejected the assessee's suo-motto disallowance without proper verification or addressing the assessee's contentions about excluding non-dividend bearing investments and investments from interest-free funds. CIT(A) sustained additions to the extent of exempt income without considering these exclusions. ITAT held that AO failed in statutory obligation to verify correctness of the claim, ignored interest-free funds, and provided no cogent reasons for rejection. The disallowance was deleted and appeal allowed. en-us Tue, 20 Feb 2024 00:00:00 +0530 Thu, 22 Feb 2024 08:20:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=449892 ITAT Delhi allowed the assessee's appeal regarding disallowance under Section 14A read with Rule 8D for dividend income. The AO rejected the assessee's suo-motto disallowance without proper verification or addressing the assessee's contentions about excluding non-dividend bearing investments and investments from interest-free funds. CIT(A) sustained additions to the extent of exempt income without considering these exclusions. ITAT held that AO failed in statutory obligation to verify correctness of the claim, ignored interest-free funds, and provided no cogent reasons for rejection. The disallowance was deleted and appeal allowed. Case-Laws Income Tax Tue, 20 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=449892