2018 (10) TMI 1344 - AT - Income Tax

Disallowance u/s 14A - quantification of notional expenses as per Rule 8D - Held that - The Tribunal has considered all the grounds raised by the assessee and also the Tribunal has relied on the various firms decisions of the higher authorities and considered the quantification of notional expenses for disallowance as per Rule 8D. No merit in the Miscellaneous Petition of the assessee and the same stands dismissed.

Summary

Issues:
Rectification of order passed by the Tribunal in ITA No.1537/Chny/2015 for the AY 2010-11 regarding the applicability of Rule 8D of the Income Tax Rules, 1962 and quantification of notional expenses.

Analysis:

The assessee filed a Miscellaneous Petition seeking rectification of the Tribunal's order, stating that the issue of quantification of notional expenses as per Rule 8D was not adjudicated. The petitioner argued that the original grounds of appeal were available at the time of decision, and the issue in question was not decided. The Departmental Representative contended that the Tribunal had considered all grounds and passed a detailed order. After hearing both sides, the Tribunal reviewed the previous order and noted that it had indeed considered all grounds raised by the assessee, including the quantification of notional expenses for disallowance as per Rule 8D based on decisions of higher authorities. Consequently, the Tribunal found no merit in the Miscellaneous Petition and dismissed it.

In conclusion, the Tribunal dismissed the Miscellaneous Petition filed by the assessee, upholding the previous order. The decision was pronounced on September 11, 2018, in Chennai.