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2014 (3) TMI 426 - ITAT KOLKATADisallowance of interest u/s 14A of the Act Held that:-Disallowance under section 14A read with rule 8D can only be invoked when the assessee has incurred some expenditure on earning of tax exempt income Relying upon Goetze (India) Ltd. vs- CIT [2009 (5) TMI 615 - ITAT DELHI] and COMMISSIONER OF INCOME TAX Versus WIMCO SEEDLINGS LTD. [2011 (12) TMI 16 - DELHI HIGH COURT]- the burden is on the AO to establish the nexus of expenses having incurred for earning of exempted income before making disallowance under section 14A - unless it is demonstrated that some expenses have been incurred in earning the tax exempt income, the provision of rule 8D cannot be invoked at all matter remitted back to the AO for de novo adjudication - Decided in favour of assesse.
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