https://www.taxtmi.com/caselaws?id=461404 ITAT Cochin held that AO cannot blindly apply Rule 8D without first satisfying requirements of Section 14A(2) regarding incorrect expenditure claims related to exempt income. Matter remanded for fresh examination. Following SC's Exide Industries ruling, deduction for leave encashment provision disallowed unless actually paid. CIT(A) can entertain additional claims without revised returns per established precedent. Issues regarding bad debts and amortization of premium on securities remanded to CIT(A) for merit examination. CIT(A)'s computation of eligible business profits under Section 36(1)(viii) upheld. AO cannot use Section 154 proceedings to rectify quantum already decided by CIT(A). en-us Mon, 12 Dec 2022 00:00:00 +0530 Fri, 04 Apr 2025 19:16:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=461404 ITAT Cochin held that AO cannot blindly apply Rule 8D without first satisfying requirements of Section 14A(2) regarding incorrect expenditure claims related to exempt income. Matter remanded for fresh examination. Following SC's Exide Industries ruling, deduction for leave encashment provision disallowed unless actually paid. CIT(A) can entertain additional claims without revised returns per established precedent. Issues regarding bad debts and amortization of premium on securities remanded to CIT(A) for merit examination. CIT(A)'s computation of eligible business profits under Section 36(1)(viii) upheld. AO cannot use Section 154 proceedings to rectify quantum already decided by CIT(A). Case-Laws Income Tax Mon, 12 Dec 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=461404