2010 (10) TMI 1088

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ssee is in appeal against the order of the learned Commissioner of Income-tax (Appeals), dated 17.06.2010 pertaining to the Assessment Year 2007-08. 2. The grounds raised in this appeal are as under:- 1. That Ld. A.O. Ld. CIT(A) erred in invoking provisions of sec. 14A of the Income Tax Act. 2. That the Ld. A.O. erred in taking into account the value of investments, the income from .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... s, there was no fault in the order of the Assessing Officer in making the disallowance. 4. Hence, the assessee is in further appeal before us. 5. We have hard both the parties and have carefully gone through the orders of the authorities below. 6. On perusal of orders of the authorities below, it is clear that the authorities below had disallowed the expenses by applying the method provid .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... f the Income-tax Rules to the present case. We, therefore, set aside the orders of the authorities below and hold that no disallowance of expenses under sec. 14A is called for inasmuch as no expenses have been incurred by the assessee to earn exempt income. The AO shall modify the assessment order accordingly. 7. In the result, the appeal filed by the assessee is allowed. 8. This decision is .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X