2025 (3) TMI 42

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....ORDER PER PRADIP KUMAR KEDIA, AM : The instant appeal has been filed at the instance of the assessee seeking to assail the First Appellate order dated 14.08.2024 passed by Ld. Commissioner of Income Tax (A)-26, New Delhi ["CIT(A)"] u/s 250 of the Income Tax Act, 1961 ["the Act"] arising from the assessment order dated 20.04.2021 passed u/s 143(3) of the Act pertaining to assessment year 2018-19.....

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....nvestment of Mutual Funds amounting to INR 12,32,39,534/-. The assessee also pointed out to the AO that suo-motto disallowance of INR 39,07,599/- has been carried out. Based on the information made available, the AO passed order under s. 143(3) of the Act without resorting to any disallowance under s. 14A of the Act. However, after the completion of the assessment, a notice dated 29.04.2022 was is....

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....rectification. The Ld. Counsel also points out that the issue towards disallowance under s. 14A is highly debatable and not a simple mathematical calculation. 4. The Ld. Counsel next submitted that once suo-motto disallowance has been carried out, the provision of s.14A can be invoked only after recording express dissatisfaction with the disallowance offered by the assessee. In the absence of rec....