https://www.taxtmi.com/caselaws?id=313369 The ITAT Jaipur held that disallowance under Section 14A cannot exceed the exempt income earned by the assessee. The tribunal relied on precedents from Delhi HC and ITAT Mumbai, ruling that Section 14A only permits disallowing expenditure incurred in relation to tax-exempt income, and this proportion cannot consume the entire amount. The AO was directed to restrict the Section 14A disallowance to the extent of exempt income earned. The appeal was partly allowed with this direction. en-us Tue, 27 Oct 2020 00:00:00 +0530 Tue, 09 Apr 2024 18:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=313369 The ITAT Jaipur held that disallowance under Section 14A cannot exceed the exempt income earned by the assessee. The tribunal relied on precedents from Delhi HC and ITAT Mumbai, ruling that Section 14A only permits disallowing expenditure incurred in relation to tax-exempt income, and this proportion cannot consume the entire amount. The AO was directed to restrict the Section 14A disallowance to the extent of exempt income earned. The appeal was partly allowed with this direction. Case-Laws Income Tax Tue, 27 Oct 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=313369