https://www.taxtmi.com/caselaws?id=756264 The ITAT Kolkata allowed the appeal, ruling in favor of the assessee by directing the AO to delete the addition of Rs. 28,93,440/- under section 14A of the Income Tax Act. The ITAT determined that no disallowance was warranted as the assessee did not earn exempt income from the investments. The ITAT criticized the CIT(A) for upholding the addition without considering the assessee's detailed submissions and relied on a precedent from the Calcutta HC, emphasizing that section 14A disallowance is inapplicable when no exempt income is earned. The decision underscored the necessity of reasoned grounds for any addition or estimation. en-us Thu, 25 Jul 2024 00:00:00 +0530 Tue, 30 Jul 2024 08:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756264 The ITAT Kolkata allowed the appeal, ruling in favor of the assessee by directing the AO to delete the addition of Rs. 28,93,440/- under section 14A of the Income Tax Act. The ITAT determined that no disallowance was warranted as the assessee did not earn exempt income from the investments. The ITAT criticized the CIT(A) for upholding the addition without considering the assessee's detailed submissions and relied on a precedent from the Calcutta HC, emphasizing that section 14A disallowance is inapplicable when no exempt income is earned. The decision underscored the necessity of reasoned grounds for any addition or estimation. Case-Laws Income Tax Thu, 25 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756264