TaxTMI 
TaxTMI 
2019 (2) TMI 1595
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....he Tribunal is correct in holding that the interest is to be as business income as against the income from other sources? b). Whether on the facts and circumstances of the case and in law, the Tribunal is correct in law in holding that interest expense amounting to Rs. 2,31,96,641/- for investment in shares of PPL and for construction activities and not to carry the interest to the WIP? c). Whether on the facts and circumstances of the case and in law, the Tribunal is correct in law in holding that the provisions of Section 14A is not applicable as no income had earned which is exempt under the I.T. Act? d). Whether on the facts and circumstances of the case and in law, the Tribunal is correct in law in holding that the int....
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....gned order, the Tribunal found on examination of record that the respondent was engaged in the business of construction as well as lending of money. The impugned order records the fact that even if no interest income has been earned, the interest paid has to be allowed as a revenue expenditure. This as it found a facts has incurred to carry on business. So also it held that the interest income earned has to be termed as business income in the present facts. This as its activity of lending money was a separate activity of business besides construction. Accordingly, the appeal of the Revenue was dismissed. 5.4 We find both the CIT(A) and the Tribunal on examination of records found that the respondent was engaged in construction activities a....
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....rprises Income Tax Appeal No. 110 of 2009 dated 25.6.2012, the decision of the Gujrat High Court in the case of CIT Vs. Corrtech Energy (P) Ltd. 372 ITR 97 and the decision of the Allahabad High Court in the case of CIT Vs. M/s Shivam Motors Pvt. Ltd. 2014 TIOL 754. Therefore, allowed the respondent assessee's appeal. 6.4 Mr. Suresh Kumar submits that after the decision of the Apex Court in the case of Maxopp Investment Ltd Vs. CIT, New Delhi [2018] 91 taxmann.com 154(SC), disallowance under Section 14A of the Act would have to be done even if the assessee is not in receipt of any income for the said assessment year. 6.5 We closely perused the decision of the Apex Court in Maxopp Investemnt Ltd (supra). We note that the Apex Court was....