2023 (10) TMI 1361

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....hry (JM) For the Assessee : Shri Jiten Sanghvi & Shri Amit Khatwala. For the Department : Ms. Sanyogita Nagpal. ORDER PER B.R. BASKARAN (AM) :- The appeal filed by the revenue and the cross objection filed by the assessee are directed against the order dated 31.3.2023 passed by Ld CIT(A), NFAC, Delhi and they relate to the assessment year 2014-15. 2. The revenue is aggrieved by t....

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.... u/s 154 of the Act. The AO adopted the figure of above said disallowance for computing book profit u/s 115JB of the Act also. 4. Before Ld CIT(A), the assessee took various contentions, which, inter alia, included a contention that the disallowance should not exceed the amount of exempt income. In this regard, reliance was placed upon the decision rendered by Hon'ble Delhi High Court in the ca....

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....mputed u/s 14A should not be imported into sec. 115JB of the Act. 6. Aggrieved by the above said decisions, the revenue has filed this appeal. The assessee has filed cross objection contending that, for the purpose of computing average value of investments under Rule 8D, only those investments which have yielded dividend income should be considered. 7. We heard the parties and perused the re....

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....the assessee that the "average value of investments" to be computed for the purpose of Rule 8D should be computed by considering only those investments, which have yielded dividend income. The above said contention finds support from the decision rendered by Delhi Special Bench in the case of Vireet Investments P Ltd (supra). Accordingly, we direct the AO to compute average value of investments by....