9911796707
TMI Blog2015 (10) TMI 917X X X X Extracts X X X X X X X X Extracts X X X X ..... e case, the CIT(A) erred in holding that it was a fit case for effecting some disallowance u/s.14A and has further erred in quantifying such disallowance in a sum of Rs. 2,10,000/-. 2. On the facts and in the circumstances of the case, the CIT(A) erred in upholding disallowance of depreciation o the membership of the Stock Exchange which enables the assessee to Key-in the transactions on the Screen Based Platform of the Stock Exchange. 3. The appellant craves leave to add, alter, amend and/or withdraw any ground or grounds of appeal either before or during the course of hearing of the appeal. 2. Briefly stated facts are that the assessee filed its return of income declaring income of Rs. 11,56,61,350/-. The case of the assessee was pic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(OSD), dated 29/11/2013. 4. On the contrary, ld.Sr.DR supported the orders of the authorities below and submitted that thee is no infirmity in the orders of the authorities below. 5. We have heard the rival submissions, perused the material available on record and gone through the orders of the authorities below as well as the decisions relied upon by the ld.counsel for the assessee. The contention of the assessee is that interest income of Rs. 7.54 crores is more than the total interest outgo of Rs. 2.29 crores and thus there is net interest income of Rs. 5.25 crores. Therefore, it cannot be said that the assessee has claimed any expenditure on interest. This is so because in assessee's case there is a common pool of interest inco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t liability and not overheads or administrative expenditure; which should be considered for disallowance under rule 8D from 2007-08 onwards. In this case, the assessment year involved is 2006-07, therefore the disallowance of administrative expenses is not justified. Hence, the AO is directed to delete the addition of Rs. 50,000/- as sustained by the ld.CIT(A). 5.1. In respect of the disallowance on interest portion, the ld.counsel for the assessee has drawn out attention towards balance-sheet, wherein the assessee has sufficient interest-free funds for making investments into the assets from which the assessee has earned exempt income. Since the assessee was having sufficient interest-free funds, therefore the disallowance of interest par ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hts which have been conferred upon the erstwhile card hold of BSE after its corporatization and demutualization has no value is evident from the provisions of proviso to section 55(2)(ab) of the Act which has been brought on a statue by the Finance Act 2003 w.e.f. 01/04/2004. In present case under consideration, it is admitted fact that the assessee has been allotted equity shares under the BSE corporatization and Demutulization Scheme 2005 and same is evident from the balance sheet where under the head investment of Rs. 10000 equity shares of BSE limited has been reflected. Once the assessee has been allotted equity shares of BSE limited under scheme then as per provisions of section 55(2)(ab), the cost of acquisition of trading and cleari ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
