2025 (2) TMI 1638

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....hri Ram Kumar Yadav, CIT-DR ORDER PER B.M. BIYANI, A.M.: Feeling aggrieved by order of first appeal dated 29.02.2024 passed by learned Commissioner of Income-Tax (Appeals)-NFAC, Delhi ["CIT(A)"] which in turn arises out of assessment-order dated 27.12.2017 passed by learned ITO-1(2), Bhopal ["AO"] u/s 143(3) of Income-tax Act, 1961 ["the Act"] for Assessment-Year ["AY"] 2015-16, the asses....

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....exempt income but had to incurred by the company for its legal compliances. 3. The assessee craves to amend, add, alter or delete any of the ground of appeal on or before the date appeal is finally heard for disposal". 2. The background facts leading to present appeal are such that the assessee-company filed its return of income of AY 2015-16 declaring a total income of Rs. Nil. The ca....

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....see in the presence of Ld. DR for revenue. In the P&L A/c, the assessee has credited exempted dividend income of Rs. 99,65,424/- and debited total expenses of Rs. 4,47,278/-. The Computation of Total Income shows that the assessee has already made suo moto disallowance of Rs. 4,01,500/- while calculating taxable income. From these documents, it is very clear that the assessee incurred total expens....

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....e whole year is "X" amount, the disallowance, even if worked out as per standard formulae in Rule 8D, cannot be more than "X". Needless to mention that the standard formulae prescribed in Rule 8D is basically a notional calculation and hence the proviso has been inserted for capping the notional calculation. Therefore, the aforesaid proviso, even if brought in Rule 8D from 02.06.2016, is curative ....