2017 (12) TMI 1749

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...., facts, circumstances, natural justice, equity, without jurisdiction, bad in law and all other known principles of law. 2. That the total income computed and the total tax computed is hereby disputed. 3. That the learned authorities below erred in disallowing Rs. 2,16,11,945/- u/s 14A r.w.r. 8D(2)(ii) of the Act and Rs. 15,00,000/- u/s 14A rwr 8D(2)(iii) of the Act. 4. That the learned authorities below erred in not appreciating that when there is no tax free income, there cannot be any expenditure incurred for earning exempt income.   5. That the learned authorities below erred in not following the binding/relevant decisions of the higher appellate authorities on the issue. 6. That the lea....

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....ould be made u/s. 14A of the Act. The Hon'ble Delhi High Court in the case of Cheminvest Ltd. v. CIT, 378 ITR 33 (Del) has categorically held that section 14A envisages that there should be actual receipt of income which was not includible in the total income during the relevant previous year for the purpose of disallowing any expenditure in relation to the said income. Wherever there is no exempt income includible in the total income of the assessee, the provisions of section 14A cannot be invoked. The relevant observations of the judgment of the Hon'ble Delhi High Court are extracted hereunder:- "15. Turning to the central question that arises for consideration, the court finds that the complete answer is provided by the ....