https://www.taxtmi.com/caselaws?id=466311 Amendment to disallowances under section 14A is treated as prospective, so no 14A disallowance is required where the assessee did not earn exempt income; the appellate authority directed deletion of the 14A disallowance. Interest expense disallowance for interest-free advances was deleted on the finding that advances were funded from substantial own funds, invoking the allocation principle applied in prior authority. For MAT, the 14A computed amount was not to be added to book profit where no exempt income arose, and the addition under the explanation to book profit was set aside. Appeal allowed. en-us Fri, 28 Feb 2025 00:00:00 +0530 Sun, 01 Feb 2026 19:07:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=466311 Amendment to disallowances under section 14A is treated as prospective, so no 14A disallowance is required where the assessee did not earn exempt income; the appellate authority directed deletion of the 14A disallowance. Interest expense disallowance for interest-free advances was deleted on the finding that advances were funded from substantial own funds, invoking the allocation principle applied in prior authority. For MAT, the 14A computed amount was not to be added to book profit where no exempt income arose, and the addition under the explanation to book profit was set aside. Appeal allowed. Case-Laws Income Tax Fri, 28 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=466311