2013 (11) TMI 529 - HC - Income Tax

Appellant accepted the facts, then why the appeal - Disallowance u/s 14A of the Income tax act Held that - Factual inaccuracies in computing the disallowance under Rule 8D by AO, pointed out by the Commissioner (Appeals) are not wrong or incorrect - Commissioner (Appeals) has relied and referred to Rule 8D and has recomputed the disallowance on the basis of applicable and correct figures. These figures are not disputed by the Revenue in the present appeal in the grounds Therefore, appeal do not sustain Decided against the Revenue.

Summary

The Delhi High Court dismissed the Revenue's appeal under Section 260A of the Income Tax Act, 1961 as the disallowance of expenditure on earning exempt income was computed correctly by the Commissioner (Appeals) using Rule 8D. The tribunal's observation that Rule 8D is not retrospective was deemed inconsequential in this case. The appeal was dismissed.