2013 (7) TMI 977

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....dra Singh, AM This appeal by the assessee is directed against the order dated 9.2.2012 of CIT(A) for the assessment year 2008-09. The assessee in this appeal has disputed the disallowance of certain expenses made on estimate basis as well as disallowance u/s 14A of the Income Tax Act. 2. We first take up the dispute relating to estimated disallowance of expenses. The assessee had claimed Mis....

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....atter carefully. The estimated disallowance of expenses had been made by AO on the ground of self made vouchers in some cases and expenditure incurred in cash. The said finding of fact has not been controverted by the assessee either before CIT(A) or before us. Therefore, estimated disallowance of expenditure on the facts of the case is justified. However, in our view it will meet the ends of just....

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.... of expenses should be made. CIT(A) however did not accept the contentions raised. It was observed by him that Rule 8D was applicable from assessment year 2008-09 as held by Hon'ble High Court of Bombay in case of Godrej Boyce Mfg. Co. (328 ITR 81). He, therefore confirmed the disallowance made by AO as per Rule 8D, aggrieved by which the assessee is in appeal before Tribunal. 5. Before us, lea....

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....idered matter carefully. The dispute is regarding disallowance of expenses u/s 14A in respect of exempt income. The disallowance of expenses is required to be computed as per Rule 8d which was applicable from assessment year 2008-09. However the provisions of section 14A(2) make it clear that disallowance under Rule 8D can be made only if the AO is not satisfied with the correctness of claim of th....