https://www.taxtmi.com/caselaws?id=763904 ITAT Delhi upheld CIT(A)'s decision allowing various deductions for a Regional Rural Bank. No disallowance under section 14A was permitted where interest-free funds exceeded investments. Amortization of premium on securities held to maturity was allowed as deduction. Provision for standard assets and fraud provisions were accepted based on consistency principle and CBDT circular. Section 80P(2)(a)(i) deduction was confirmed applicable to RRBs. However, establishment expenses for PNB-deputed staff were remanded to AO for verification due to insufficient documentation. Addition based on establishment expenses increase was deleted as it relied on assumptions without proper examination. en-us Fri, 27 Dec 2024 00:00:00 +0530 Mon, 30 Dec 2024 12:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=763904 ITAT Delhi upheld CIT(A)'s decision allowing various deductions for a Regional Rural Bank. No disallowance under section 14A was permitted where interest-free funds exceeded investments. Amortization of premium on securities held to maturity was allowed as deduction. Provision for standard assets and fraud provisions were accepted based on consistency principle and CBDT circular. Section 80P(2)(a)(i) deduction was confirmed applicable to RRBs. However, establishment expenses for PNB-deputed staff were remanded to AO for verification due to insufficient documentation. Addition based on establishment expenses increase was deleted as it relied on assumptions without proper examination. Case-Laws Income Tax Fri, 27 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=763904