TaxTMI 
TaxTMI 
2024 (7) TMI 1789
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....r by this common order by taking ITA No. 3409/Mum/2023 as a lead case and its finding will be applied mutatis mutandis to the other appeal wherever it is applicable. ITA No.3409/Mum/2023 "1. On the facts and circumstances of the case and in law, The Ld. CIT(A) erred in holding that the disallowance under section 14A in the impugned order dated 30.12.2019 as not tenable ignoring the finding in Para 6.5 of the order under section 143(3) dated 19.03.2013 and in Para 3.5 of the order under section 143(3) r.w.s 254 dated 30.12.2019 that the expenses disallowed by the Assessee as relatable to exempt income is not found satisfactory. 2. The appellant craves to amend, alter and delete any of the aforesaid grounds and add any ad....
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.... accordance with the decisions after providing an opportunity to the assessee. However, the assessing officer while giving effect to the order of the ITAT again conformed the disallowance made u/s 14A r.w.Rule 8D. 3. In the appeal before the ld. CIT(A), the ld. CIT(A) has allowed the appeal of the assessee after following the decision of Mumbai ITAT in the case of the assessee itself vide ITA no.5619/Mum/2019 for assessment year 2009 dated 08.03.2021. The relevant extract of the decision of CIT(A) is produced as under: "5. I have considered the findings of the AO, submissions of the appellant and the facts of the case as placed before me. It is pertinent to note that the honourable Mumbai ITAT in the appellants own case vide ITA....
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.... We find that the Id. AO disregarded the aforesaid contentions of the assessee and proceeded to disallow Rs.85,90,80,262/- u/s 144A of the Act row Rule 8D(2) of the Rules. We find that assessee had voluntarily disallowed the sum of Rs.7,94,39,436/ under Rule 8D(2) (ii) of the Rules considering the investments which had yielded exempt income. We find that the Id CIT(A) on appreciating the fact that assessee has flooded with sufficient own and interest free funds in its kitty which would sufficiently explain the investments made by it which had actually yielded exempt income and hence, it could be safely inferred that no borrowed funds could have been utilised for the same. Accordingly, by placing reliance on the decision of Jurisdictional Hi....
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....as held that the Hon'ble Apex Court in the case of Maxopp Investment Ltd., reported in 402 ITR 640 had categorically upheld the findings recorded by the Hon'ble Punjab and Haryana High Court in the case of State Bank of Patiala reported in 78 Taxmann.com 3 (P & H) with regard to non-applicability of provisions of Section 14A of the Act in respect of investments held as stock in trade in respect of banks. It was also held by this Tribunal that the Hon'ble Punjab and Haryana High Court in above mentioned case had further placed reliance on the CBDT Circular No 18/2015 dated 02/11/2015. Hence, by respectfully following the said decision, we hold that there was absolutely no error in the action of the Id. CIT(A) in holding that prov....
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.... are decisions of the supreme Appellate Tribunals which do not attract the unanimous approval of all members of the judiciary. But the judicial system only works if someone is allowed to have the last word, and that last word once spoken is loyally accepted The better wisdom of the Court below must yield to the higher wisdom of the Court above as held by the Supreme Court in the matter of CCE v. Dunlop India Ltd AIR 1985 SC 330. 17. In the aforesaid backdrop, for the reasons stated hereinabove, and humbly following the jurisdictional ITAT decision in the appellants own case, the disallowance u/s 14A in the impugned "giving effect order of the Assessing Officer dated 30.12 2019 is not held as not tenable and hence the appellants gro....