Cargo Motors Pvt. Ltd. v. DCIT

453 ITR 554High Court2023#7465 most cited

What is Cargo Motors Pvt. Ltd. v. DCIT authority for?

For computing disallowance under Section 14A, only investments yielding exempt income should be considered for the purpose of Rule 8D(2)(ii).

15

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2023 to 2026.

Also referred to as

Cargo Motors Pvt. Ltd. v. DCIT · 453 ITR 554 · Section 14A · Rule 8D(2)(ii) · exempt income · disallowance · investments

Sections most often in play

Section 14ASection 8DSection 143(3)Section 250Section 132(4)Section 139(1)Section 153ASection 22

Issues it is cited on

section 23(1)(c)section 23(1)(a)section 23(1)mistake apparent from recordinterest under section 234asection 22section 14adisallowance u/s 14adirect tax vivad se vishwassection 23unexplained expendituresection 234a

Judgments citing Cargo Motors Pvt. Ltd. v. DCIT

Doubledot Finance Ltd, Mumbai vs. ITO Ward 4(1)(4), Mumbai

In the result, the appeal filed by the assessee stands allowed

ITA 5514/MUM/2025[2014-15]Status: DisposedITAT Mumbai02 Feb 2026AY 2014-15

Bench: Shri Sandeep Gosaindoubledot Finance Ltd Vs. Income Tax Officer- 1St Floor, Kohinoor City 4(1)(4) Mall, Premier Road, Aayakar Bhavan, Mk Kurla (W), Mumbai Road Mumbai. Pan/Gir No:Aqepd9599B (Appellant) (Respondent)

Section 143(3)Section 14ASection 250Section 37

…decision in the case of a. ACIT v. Vireet Investment Pvt. Ltd. [58 ITR (T) 313 (Del SB)] b. Kotak Mahindra Bank Ltd. v. Assessment Unit, Income Tax Department [211 ITD 608 (Mum)] c. ACB India Ltd. v. ACIT [374 ITR 108 (Del)] d. Cargo Motors Pvt. Ltd. v. DCIT [453 ITR 554 (Del)] e. Reliance Power Ltd. v. DCIT [159 taxmann.com 1626 (Mum)] 3 Doubledot Finance Ltd., Mumbai. 6. More particularly under the facts of the present case in para 7.4, the Ld. CIT(A) itself accepted that the disallowance u/s 14A of the Act should be restricted only while investments from where exempt income is earned. Thus in these circumsta…

Shankaranarayana Constructions Private Limited, Bangalore vs. Asst. Commissioner of Income Tax, Central Circle - 2(4), C R Buildings, Queens Road, Bengaluru

In the result, this portion of appeal is partly allowed for statistical purposes

ITA 1271/BANG/2025[2018-2019]Status: DisposedITAT Bangalore26 Nov 2025AY 2018-2019

Bench: Shri Laxmi Prasad Sahu & Shri Soundararajan K.

For Respondent: Shri A. Shankar, Sr
Section 132Section 143Section 14ASection 153ASection 250

…1993 insofar as the issue of amortisation of cost of building is concerned. The Ld.AR filed the copy of the Lease Deed dated 02/03/2007 executed between the assessee and the landlord. The Ld.AR also relied on the Hon’ble Delhi High Court judgement reported in 453 ITR 554 in the case of Cargo Motors (P) Ltd. insofar as the disallowance u/s. 14A is concerned and finally prayed to allow the appeals. 8. The Ld.DR relied on the orders of the lower authorities and submitted that in Schedule 10 there was no claim of depreciation and prayed to dismiss the appeals. 9. We have heard the arguments of both sides and peruse…

Shankaranarayana Constructions Private Limited, Bangalore vs. Asst. Commissioner of Income Tax, Central Circle - 2(4), C R Buildings, Queens Road, Bengaluru

In the result, this portion of appeal is partly allowed for statistical purposes

ITA 1270/BANG/2025[2017-2018]Status: DisposedITAT Bangalore26 Nov 2025AY 2017-2018

Bench: Shri Laxmi Prasad Sahu & Shri Soundararajan K.

For Respondent: Shri A. Shankar, Sr
Section 132Section 143Section 14ASection 153ASection 250

…1993 insofar as the issue of amortisation of cost of building is concerned. The Ld.AR filed the copy of the Lease Deed dated 02/03/2007 executed between the assessee and the landlord. The Ld.AR also relied on the Hon’ble Delhi High Court judgement reported in 453 ITR 554 in the case of Cargo Motors (P) Ltd. insofar as the disallowance u/s. 14A is concerned and finally prayed to allow the appeals. 8. The Ld.DR relied on the orders of the lower authorities and submitted that in Schedule 10 there was no claim of depreciation and prayed to dismiss the appeals. 9. We have heard the arguments of both sides and peruse…

Shankaranarayana Constructions Private Limited, Bangalore vs. Asst. Commissioner of Income Tax- Central Circle 2(4), Central Revenue Building, Queens Road, Bengaluru

In the result, this portion of appeal is partly allowed for statistical purposes

ITA 1269/BANG/2025[2016-2017]Status: DisposedITAT Bangalore26 Nov 2025AY 2016-2017

Bench: Shri Laxmi Prasad Sahu & Shri Soundararajan K.

For Respondent: Shri A. Shankar, Sr
Section 132Section 143Section 14ASection 153ASection 250

…1993 insofar as the issue of amortisation of cost of building is concerned. The Ld.AR filed the copy of the Lease Deed dated 02/03/2007 executed between the assessee and the landlord. The Ld.AR also relied on the Hon’ble Delhi High Court judgement reported in 453 ITR 554 in the case of Cargo Motors (P) Ltd. insofar as the disallowance u/s. 14A is concerned and finally prayed to allow the appeals. 8. The Ld.DR relied on the orders of the lower authorities and submitted that in Schedule 10 there was no claim of depreciation and prayed to dismiss the appeals. 9. We have heard the arguments of both sides and peruse…

Shankaranarayana Constructions Private Limited, Sns House, Residency Road vs. Asst. Commissioner of Income Tax, Central Circle 2(4), Central Revenue Building, Queens Road, Bengaluru

In the result, this portion of appeal is partly allowed for statistical purposes

ITA 1268/BANG/2025[2015-2016]Status: DisposedITAT Bangalore26 Nov 2025AY 2015-2016

Bench: Shri Laxmi Prasad Sahu & Shri Soundararajan K.

For Respondent: Shri A. Shankar, Sr
Section 132Section 143Section 14ASection 153ASection 250

…1993 insofar as the issue of amortisation of cost of building is concerned. The Ld.AR filed the copy of the Lease Deed dated 02/03/2007 executed between the assessee and the landlord. The Ld.AR also relied on the Hon’ble Delhi High Court judgement reported in 453 ITR 554 in the case of Cargo Motors (P) Ltd. insofar as the disallowance u/s. 14A is concerned and finally prayed to allow the appeals. 8. The Ld.DR relied on the orders of the lower authorities and submitted that in Schedule 10 there was no claim of depreciation and prayed to dismiss the appeals. 9. We have heard the arguments of both sides and peruse…

Ptc India Limited, Delhi vs. DCIT, Circle-19(1), New Delhi

In the result, appeal of the Revenue is dismissed

ITA 961/DEL/2023[2018-19]Status: DisposedITAT Delhi19 Nov 2025AY 2018-19

Bench: Shri Sudhir Kumar & Shri Manish Agarwal[Assessment Year : 2018-19] Ptc India Ltd. Vs Dcit 2Nd Floor, Nbcc Tower, Circle-19(1), Delhi Bhikaji Cama Place, 15, R.K.Puram (Main), New Delhi-110066. Pan-Aabcp7947F Appellant Respondent [Assessment Year : 2018-19] Dcit Vs Ptc India Ltd. Circle-19(1), 2Nd Floor, Nbcc Tower, Delhi Bhikaji Cama Place, 15, R.K.Puram (Main), New Delhi-110066. Pan-Aabcp7947F Appellant Respondent Appellant By Shri Salil Kapoor, Adv. & Ms. Soumya Singh, Adv Respondent By Shri D S Sidhu, Cit Dr Date Of Hearing 25.08.2025 Date Of Pronouncement 19.11.2025

Section 143(3)Section 14ASection 250

…t. 17. This being so, we direct the AO to compute the disallowance as per Rule 8D(2)(ii) on the amount of investment which had yielded exempt income only. The hon’ble jurisdictional high court in the case of Crago Motors Pvt. Ltd. Vs. DCIT reported in (2023) 453 ITR 554 (Delhi) and the Special Bench of ITAT Delhi in the case of Vireet Investments P Ltd reported in (2017) 82 taxmann.com 415 (Delhi) ITA No.961/Del/2023 & 3225/Del/2024 held that for the purpose of computing the disallowance u/s 14A of the Act, the investments which has yielded exempt income should only be considered for the purpose of computing the…

Dy. Commissioner of Income Tax, Central Circle 3(4), Mumbai vs. Nippon Life India Asset Management Limited, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 3887/MUM/2025[2020-21]Status: DisposedITAT Mumbai28 Aug 2025AY 2020-21

Bench: SHRI AMIT SHUKLA, JUDICIAL MEMBER\n&\nSHRI GIRISH AGRAWAL (Accountant Member)

Section 143(3)Section 14A

…penditure relatable to the entire portfolio, but only such expenditure as is incurred "in relation to" earning income not includible in the total income. 4. 1. This position has been affirmed by the Hon'ble Delhi High Court in Cargo Motors (P) Ltd. vs. DCIT [453 ITR 554], wherein it was categorically held that, for Rule 8D purposes, only those investments that yield exempt income during the relevant year are to be considered. The Tribunal has consistently echoed this view in a series of coordinate bench rulings, inter alia: • Cricket Club of India Ltd. vs. PCIT [165 taxmann.com 376 (Mum.)] • HDFC Bank Ltd. vs. D…

Hercules Hoists Limited, Raigarh vs. Deputy Commissioner of Income Tax, Mumbai

In the result, the appeals filed by the assessee in ITA Nos

ITA 5445/MUM/2024[2012-2013]Status: DisposedITAT Mumbai18 Jul 2025AY 2012-2013

Bench: Shri Saktijit Dey, Vp & Shri Prabhash Shankar, Am

For Appellant: Shri Vasanti PatelFor Respondent: Shri Hemanshu Joshi
Section 22Section 23(1)(a)Section 23(1)(c)

…14A read with Rule 8D qua indirect expenses has to be made based on the investments which yielded exempt income during the year. In this context, we refer to the decision of the Hon’ble Delhi High Court in the case of Cargo Motors Pvt. Ltd. vs. DCIT [2023] 453 ITR 554 (Del). To avoid multiplicity of judicial precedent, we desist from referring to the other decisions expressing similar view. 18. Before us, ld. Counsel appearing for the assessee submitted that in course of proceedings before the First Appellate Authority, the assessee has furnished a working of disallowance considering investments which yield…

Hercules Hoists Limited, Raigarh vs. Deputy Commissioner of Income Tax, Mumbai

In the result, the appeals filed by the assessee in ITA Nos

ITA 5444/MUM/2024[2014-15]Status: DisposedITAT Mumbai18 Jul 2025AY 2014-15

Bench: Shri Saktijit Dey, Vp & Shri Prabhash Shankar, Am

For Appellant: Shri Vasanti PatelFor Respondent: Shri Hemanshu Joshi
Section 22Section 23(1)(a)Section 23(1)(c)

…14A read with Rule 8D qua indirect expenses has to be made based on the investments which yielded exempt income during the year. In this context, we refer to the decision of the Hon’ble Delhi High Court in the case of Cargo Motors Pvt. Ltd. vs. DCIT [2023] 453 ITR 554 (Del). To avoid multiplicity of judicial precedent, we desist from referring to the other decisions expressing similar view. 18. Before us, ld. Counsel appearing for the assessee submitted that in course of proceedings before the First Appellate Authority, the assessee has furnished a working of disallowance considering investments which yield…

Hercules Hoists Limited, Raigarh vs. Deputy Commissioner of Income Tax, Mumbai

In the result, the appeals filed by the assessee in ITA Nos

ITA 5443/MUM/2024[2017-18]Status: DisposedITAT Mumbai18 Jul 2025AY 2017-18

Bench: Shri Saktijit Dey, Vp & Shri Prabhash Shankar, Am

For Appellant: Shri Vasanti PatelFor Respondent: Shri Hemanshu Joshi
Section 22Section 23(1)(a)Section 23(1)(c)

…14A read with Rule 8D qua indirect expenses has to be made based on the investments which yielded exempt income during the year. In this context, we refer to the decision of the Hon’ble Delhi High Court in the case of Cargo Motors Pvt. Ltd. vs. DCIT [2023] 453 ITR 554 (Del). To avoid multiplicity of judicial precedent, we desist from referring to the other decisions expressing similar view. 18. Before us, ld. Counsel appearing for the assessee submitted that in course of proceedings before the First Appellate Authority, the assessee has furnished a working of disallowance considering investments which yield…

Hercules Hoists Limited, Raigarh vs. Deputy Commissioner of Income Tax, Mumbai

In the result, the appeals filed by the assessee in ITA Nos

ITA 5442/MUM/2024[2018-19]Status: DisposedITAT Mumbai18 Jul 2025AY 2018-19

Bench: Shri Saktijit Dey, Vp & Shri Prabhash Shankar, Am

For Appellant: Shri Vasanti PatelFor Respondent: Shri Hemanshu Joshi
Section 22Section 23(1)(a)Section 23(1)(c)

…14A read with Rule 8D qua indirect expenses has to be made based on the investments which yielded exempt income during the year. In this context, we refer to the decision of the Hon’ble Delhi High Court in the case of Cargo Motors Pvt. Ltd. vs. DCIT [2023] 453 ITR 554 (Del). To avoid multiplicity of judicial precedent, we desist from referring to the other decisions expressing similar view. 18. Before us, ld. Counsel appearing for the assessee submitted that in course of proceedings before the First Appellate Authority, the assessee has furnished a working of disallowance considering investments which yield…

Ntpc Limited, Delhi vs. DCIT, Circle-16(1), Delhi

In the result, appeal of the assessee is partly allowed

ITA 4953/DEL/2024[2020-21]Status: DisposedITAT Delhi18 Jun 2025AY 2020-21

Bench: SHRI MAHAVIR SINGH (Vice President), SHRI MANISH AGARWAL (Accountant Member)

Section 143(3)Section 14ASection 201Section 250

…natively claimed by the assessee and also held by Delhi Special Bench of ITAT in the case of Vireet Investments P Ltd reported in (2017)(82 taxmann.com 415)(Delhi) and jurisdictional high court in the case of Crago Motors Pvt. Ltd. Vs. DCIT reported in (2023) 453 ITR 554 (Delhi) that the investments which have yielded exempt income should only be considered for the purpose of computing the amount of disallowance in terms of rule 8D(2)(ii) of the Income Tax Rules, 1962. Thus by respectfully following the jusgements of hon’b;e jurisdictional high court and of the special bench of Tribunal, we accept the alternative…

M/S. Garden View Foods Pvt. Ltd., Delhi vs. Pr. CIT- 3, New Delhi

In the result, appeal of the Revenue is dismissed

ITA 3225/DEL/2017[2011-12]Status: DisposedITAT Delhi10 Mar 2025AY 2011-12

Bench: Shri Sudhir Kumar & Shri Manish Agarwal[Assessment Year : 2018-19] Ptc India Ltd. Vs Dcit 2Nd Floor, Nbcc Tower, Circle-19(1), Delhi Bhikaji Cama Place, 15, R.K.Puram (Main), New Delhi-110066. Pan-Aabcp7947F Appellant Respondent [Assessment Year : 2018-19] Dcit Vs Ptc India Ltd. Circle-19(1), 2Nd Floor, Nbcc Tower, Delhi Bhikaji Cama Place, 15, R.K.Puram (Main), New Delhi-110066. Pan-Aabcp7947F Appellant Respondent Appellant By Shri Salil Kapoor, Adv. & Ms. Soumya Singh, Adv Respondent By Shri D S Sidhu, Cit Dr Date Of Hearing 25.08.2025 Date Of Pronouncement 19.11.2025

Section 143(3)Section 14ASection 250

…t. 17. This being so, we direct the AO to compute the disallowance as per Rule 8D(2)(ii) on the amount of investment which had yielded exempt income only. The hon’ble jurisdictional high court in the case of Crago Motors Pvt. Ltd. Vs. DCIT reported in (2023) 453 ITR 554 (Delhi) and the Special Bench of ITAT Delhi in the case of Vireet Investments P Ltd reported in (2017) 82 taxmann.com 415 (Delhi) ITA No.961/Del/2023 & 3225/Del/2024 held that for the purpose of computing the disallowance u/s 14A of the Act, the investments which has yielded exempt income should only be considered for the purpose of computing the…

Morgan Credits Pvt Ltd, Mumbai vs. CIT (A)-54, Mumbai

In the result both the appeals filed by the assessee are treated as allowed for statistical purposes

ITA 1245/MUM/2023[2018-19]Status: DisposedITAT Mumbai20 Sept 2023AY 2018-19

Bench: Shri B.R. Baskaran (Am) & Shri Narender Kumar Choudhry (Jm)

Section 14A

…ced his reliance on the decision of Hon'ble Kolkata High Court decision in the case of PCIT Vs. Shalimar Pellet Feeds Ltd. (2023) 453 ITR 547 and also on the decision rendered by Hon'ble High Court of Delhi in the case of Cargo Motors (P) Ltd. Vs. DCIT (2023) 453 ITR 554. Accordingly learned AR prayed that the Assessing Officer may be directed to follow the above said decisions and compute the average value of the investment by considering only those investments which have yielded exempt dividend income. 4. We heard learned DR and perused the record. We noticed that Hon'ble Kolkata High Court and Hon'ble Delhi H…

Morgan Credits Pvt Ltd, Mumbai vs. CIT (A)-54, Mumbai

In the result both the appeals filed by the assessee are treated as allowed for statistical purposes

ITA 1244/MUM/2023[2017-18]Status: DisposedITAT Mumbai20 Sept 2023AY 2017-18

Bench: Shri B.R. Baskaran (Am) & Shri Narender Kumar Choudhry (Jm)

Section 14A

…ced his reliance on the decision of Hon'ble Kolkata High Court decision in the case of PCIT Vs. Shalimar Pellet Feeds Ltd. (2023) 453 ITR 547 and also on the decision rendered by Hon'ble High Court of Delhi in the case of Cargo Motors (P) Ltd. Vs. DCIT (2023) 453 ITR 554. Accordingly learned AR prayed that the Assessing Officer may be directed to follow the above said decisions and compute the average value of the investment by considering only those investments which have yielded exempt dividend income. 4. We heard learned DR and perused the record. We noticed that Hon'ble Kolkata High Court and Hon'ble Delhi H…

Cargo Motors Pvt. Ltd. v. DCIT (453 ITR 554) — Cited in 15 Judgments | BharatTax