2018 (11) TMI 1739 - HC - Income Tax

Disallowance u/s 14A - HELD THAT - This issue is covered against the Revenue by several decisions of this court including the latest decision in the case of Pr. CIT v. Mcdonalds s India (P.) Ltd. . 2018 (11) TMI 1057 - DELHI HIGH COURT wherein held that Section 14A will not apply if no exempt income is received or receivable during the relevant previous year. - Decided in favour of assessee. Applicability of the second proviso of Section 40 (a)(ia) to the Assessment Year 2010-11 - HELD THAT - This issue is also covered against the Revenue vide decision of this court in Ansal Land Mark Township (P.) Ltd v. CIT 2015 (9) TMI 79 - DELHI HIGH COURT as regards the rationale behind the insertion of the second proviso to Section 40(a) (ia) of the Act and its conclusion that the said proviso is declaratory and curative and has retrospective effect from 1st April 2005 merits acceptance.

Summary

The High Court of Delhi in the case of M/s Noida Software Technology Park Limited for Assessment Year 2010-11 dismissed the Revenue's appeal. The issues related to disallowance under Section 14A and the applicability of the second proviso of Section 40(a)(ia) were found to be covered against the Revenue by previous court decisions. No substantial question of law arose, so the appeal was dismissed.