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2016 (12) TMI 1791 - ITAT KOLKATADisallowance u/s 14A read with Rule 8D - AO's non satisfaction with correctness of the claim of the assessee - HELD THAT:- For the purpose of provisions under section 14A read with Rule 8D of the Rules, it is a sine qua non that the AO is not satisfied with the correctness of the claim of the assessee in respect of such expenditure in relation to income which does not form part of the total income, which is conspicuous in this matter. We, therefore, have no hesitation to hold that it is the satisfaction of Assessing Officer and Assessing Officer alone that infuses life into the order of Assessment in respect of disallowance of deductions, and none other much less the learned CIT(Appeals) can substitute his opinion for that of the Assessing Officer to validate otherwise invalid order of Assessing Officer. With this view of the matter we hold that the order of the authorities cannot be sustained and the additions made on account of invocation of Section 14A of the Act read with Rule 8D of the Rules shall be deleted. We accordingly allow the appeal of assessee.
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