https://www.taxtmi.com/caselaws?id=779857 ITAT upheld that the AO's suo moto disallowance under s.14A r/w Rule 8D warranted adjustment: the assessee's earlier self-computation was incorrect but the AO's interest disallowance could not be sustained because no finding showed interest-bearing funds were used for exempt investments, so the interest-related addition was deleted. The Tribunal directed the AO to recompute disallowance of administrative expenses on the basis of average value of only those investments that yielded exempt income in the year. The assessee's ground was partly allowed. en-us Tue, 07 Oct 2025 00:00:00 +0530 Tue, 14 Oct 2025 09:39:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=779857 ITAT upheld that the AO's suo moto disallowance under s.14A r/w Rule 8D warranted adjustment: the assessee's earlier self-computation was incorrect but the AO's interest disallowance could not be sustained because no finding showed interest-bearing funds were used for exempt investments, so the interest-related addition was deleted. The Tribunal directed the AO to recompute disallowance of administrative expenses on the basis of average value of only those investments that yielded exempt income in the year. The assessee's ground was partly allowed. Case-Laws Income Tax Tue, 07 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=779857