CIT v. Reliance Utilities & Power Ltd.

313 ITR 340High Court2009#10 most cited

What is CIT v. Reliance Utilities & Power Ltd. authority for?

Where an assessee claims that investments were made out of own funds, interest disallowance under Section 14A read with Rule 8D may not apply if the assessee demonstrates the availability of sufficient interest-free funds to cover such investments.

2,118

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2013 to 2026.

Also referred to as

CIT v. Reliance Utilities and Power Ltd. · Section 14A · Rule 8D · interest free advances · disallowance of interest expenditure · own funds · interest-free funds

Also reported as

178 Taxmann 13513 DTR 237178 Taxmann.com 135284 CTR 414

Sections most often in play

Section 14ASection 36(1)(iii)Section 143(3)Section 115JBSection 8DSection 10(34)Section 143(2)Section 37(1)

Issues it is cited on

interest free advancesdisallowance of interest expendituresection 36(1)(iii)disallowance under section 14acommercial expediencydisallowance u/s 14asection 14abook profitssection 115jsection 36(1)section 36section 115jb

Judgments citing CIT v. Reliance Utilities & Power Ltd.

The ACIT, Kochi vs. M/S.Cochin Shipyard Ltd, Kochi

In the result, all the appeals by the revenue are dismissed

ITA 659/COCH/2019[2013-14]Status: DisposedITAT Cochin20 Jan 2023AY 2013-14

Bench: Smt. Beena Pillai & Ms. Padmavathy S.

For Appellant: Smt. J M Jamuna Devi, Sr. ARFor Respondent: S/Shri Rajasekharan & K. Gopi, CAs
Section 143(3)Section 14ASection 32(1)(ii)Section 32(1)(iia)Section 40

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA ITA Nos.6…

The ACIT, Kochi vs. M/S.Cochin Shipyard Ltd, Kochi

In the result, all the appeals by the revenue are dismissed

ITA 658/COCH/2019[2012-13]Status: DisposedITAT Cochin20 Jan 2023AY 2012-13

Bench: Smt. Beena Pillai & Ms. Padmavathy S.

For Appellant: Smt. J M Jamuna Devi, Sr. ARFor Respondent: S/Shri Rajasekharan & K. Gopi, CAs
Section 143(3)Section 14ASection 32(1)(ii)Section 32(1)(iia)Section 40

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA ITA Nos.6…

The ACIT, Kochi vs. M/S.Cochin Shipyard Ltd, Kochi

In the result, all the appeals by the revenue are dismissed

ITA 657/COCH/2019[2011-12]Status: DisposedITAT Cochin20 Jan 2023AY 2011-12

Bench: Smt. Beena Pillai & Ms. Padmavathy S.

For Appellant: Smt. J M Jamuna Devi, Sr. ARFor Respondent: S/Shri Rajasekharan & K. Gopi, CAs
Section 143(3)Section 14ASection 32(1)(ii)Section 32(1)(iia)Section 40

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA ITA Nos.6…

The ACIT, Kochi vs. M/S.Cochin Shipyard Ltd, Kochi

In the result, all the appeals by the revenue are dismissed

ITA 656/COCH/2019[2010-11]Status: DisposedITAT Cochin20 Jan 2023AY 2010-11

Bench: Smt. Beena Pillai & Ms. Padmavathy S.

For Appellant: Smt. J M Jamuna Devi, Sr. ARFor Respondent: S/Shri Rajasekharan & K. Gopi, CAs
Section 143(3)Section 14ASection 32(1)(ii)Section 32(1)(iia)Section 40

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA ITA Nos.6…

The ACIT, Kochi vs. M/S.Cochin Shipyard Ltd, Kochi

In the result, all the appeals by the revenue are dismissed

ITA 655/COCH/2019[2009-10]Status: DisposedITAT Cochin20 Jan 2023AY 2009-10

Bench: Smt. Beena Pillai & Ms. Padmavathy S.

For Appellant: Smt. J M Jamuna Devi, Sr. ARFor Respondent: S/Shri Rajasekharan & K. Gopi, CAs
Section 143(3)Section 14ASection 32(1)(ii)Section 32(1)(iia)Section 40

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA ITA Nos.6…

Excel Industries Limited, Mumbai vs. Deputy Commissioner of Income Tax - Central Circle 6(3), Mumbai

The appeal is allowed

ITA 915/MUM/2018[2014-15]Status: DisposedITAT Mumbai09 Jan 2023AY 2014-15

Bench: Shri Prashant Maharishi, Am & Shri Pavan Kumar Gadale, Jm

For Appellant: Shri Kirit Kamdar, ARFor Respondent: Shri Suresh Periasamy, DR
Section 115JSection 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI PRASHANT MAHARISHI, AM AND SHRI PAVAN KUMAR GADALE, JM ITA Nos. 5431/Mum/2017 (Assessment Year 2010-11) ITA Nos. 5432/Mum/2017 (Assessment Year 2011-12) DCIT M/s Excel Industries Central Circle 6(3) Limited Room No.1926, 184/187, Excel Estate, 19th Floor, S.V. Road, Vs. Air India Building, Jogeshwari (West) Nariman Point, Mumbai-400 102 Mumbai-400 021 (Appellant) (Respondent) PAN No. AAACE2488F ITA Nos. 5473/Mum/2017 (Assessment Year 2011-12) ITA No. 914/Mum/2018 (Assessment Year 2013-14) ITA No. 6444/Mum/2018 (Assessment Year 2015-16) DCIT M/s E…

Excel Industries Limited, Mumbai vs. DCIT - CC- 6(3), Mumbai

The appeal is allowed

ITA 6444/MUM/2018[2015-16]Status: DisposedITAT Mumbai09 Jan 2023AY 2015-16

Bench: Shri Prashant Maharishi, Am & Shri Pavan Kumar Gadale, Jm

For Appellant: Shri Kirit Kamdar, ARFor Respondent: Shri Suresh Periasamy, DR
Section 115JSection 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI PRASHANT MAHARISHI, AM AND SHRI PAVAN KUMAR GADALE, JM ITA Nos. 5431/Mum/2017 (Assessment Year 2010-11) ITA Nos. 5432/Mum/2017 (Assessment Year 2011-12) DCIT M/s Excel Industries Central Circle 6(3) Limited Room No.1926, 184/187, Excel Estate, 19th Floor, S.V. Road, Vs. Air India Building, Jogeshwari (West) Nariman Point, Mumbai-400 102 Mumbai-400 021 (Appellant) (Respondent) PAN No. AAACE2488F ITA Nos. 5473/Mum/2017 (Assessment Year 2011-12) ITA No. 914/Mum/2018 (Assessment Year 2013-14) ITA No. 6444/Mum/2018 (Assessment Year 2015-16) DCIT M/s E…

Deputy Commissioner of Income Central Circle-6(3), Mumbai vs. M/S.Excel Industries Limited, Mumbai

The appeal is allowed

ITA 5432/MUM/2017[2011-12]Status: DisposedITAT Mumbai09 Jan 2023AY 2011-12

Bench: Shri Prashant Maharishi, Am & Shri Pavan Kumar Gadale, Jm

For Appellant: Shri Kirit Kamdar, ARFor Respondent: Shri Suresh Periasamy, DR
Section 115JSection 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI PRASHANT MAHARISHI, AM AND SHRI PAVAN KUMAR GADALE, JM ITA Nos. 5431/Mum/2017 (Assessment Year 2010-11) ITA Nos. 5432/Mum/2017 (Assessment Year 2011-12) DCIT M/s Excel Industries Central Circle 6(3) Limited Room No.1926, 184/187, Excel Estate, 19th Floor, S.V. Road, Vs. Air India Building, Jogeshwari (West) Nariman Point, Mumbai-400 102 Mumbai-400 021 (Appellant) (Respondent) PAN No. AAACE2488F ITA Nos. 5473/Mum/2017 (Assessment Year 2011-12) ITA No. 914/Mum/2018 (Assessment Year 2013-14) ITA No. 6444/Mum/2018 (Assessment Year 2015-16) DCIT M/s E…

Deputy Commissioner of Income Central Circle-6(3), Mumbai vs. M/S.Excel Industries Limited, Mumbai

The appeal is allowed

ITA 5431/MUM/2017[2010-11]Status: DisposedITAT Mumbai09 Jan 2023AY 2010-11

Bench: Shri Prashant Maharishi, Am & Shri Pavan Kumar Gadale, Jm

For Appellant: Shri Kirit Kamdar, ARFor Respondent: Shri Suresh Periasamy, DR
Section 115JSection 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI PRASHANT MAHARISHI, AM AND SHRI PAVAN KUMAR GADALE, JM ITA Nos. 5431/Mum/2017 (Assessment Year 2010-11) ITA Nos. 5432/Mum/2017 (Assessment Year 2011-12) DCIT M/s Excel Industries Central Circle 6(3) Limited Room No.1926, 184/187, Excel Estate, 19th Floor, S.V. Road, Vs. Air India Building, Jogeshwari (West) Nariman Point, Mumbai-400 102 Mumbai-400 021 (Appellant) (Respondent) PAN No. AAACE2488F ITA Nos. 5473/Mum/2017 (Assessment Year 2011-12) ITA No. 914/Mum/2017 (Assessment Year 2013-14) ITA No. 6444/Mum/2018 (Assessment Year 2015-16) DCIT M/s E…

Suman Gupta, Mumbai vs. DCIT -CC- 4(2), Mumbai

In the result, appeal filed by the Revenue is dismissed

ITA 3858/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Jan 2023AY 2010-11

Bench: Shri Kuldip Singh, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

Section 132Section 133(6)Section 133ASection 143(1)Section 143(3)Section 153A

…IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “G”, MUMBAI BEFORE SHRI KULDIP SINGH, HON'BLE JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, HON'BLE ACCOUNTANT MEMBER ITA NOs. 3857 & 3858/MUM/2018 (A.Ys: 2009-10 & 2010-11) Smt Suman Gupta v. DCIT – CC-4(2) 6th New Harileela House Room No. 1918, 19th Floor Mint Road, Fort Air India Building Mumbai - 400001 Nariman Point Mumbai – 400 021 PAN: AHQPG0220P (Appellant) (Respondent) ITA NOs. 3797 & 3800/MUM/2018 (A.Ys: 2010-11 & 2009-10) DCIT – CC-4(2) v. Smt Suman Gupta Room No. 1918, 19th Floor 6th Floor, Apeejay House Air India Building 130-Mumbai Samachar Marg Fort,…

Suman Gupta, Mumbai vs. DCIT - CC- 4(2), Mumbai

In the result, appeal filed by the Revenue is dismissed

ITA 3857/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Jan 2023AY 2009-10

Bench: Shri Kuldip Singh, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

Section 132Section 133(6)Section 133ASection 143(1)Section 143(3)Section 153A

…IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “G”, MUMBAI BEFORE SHRI KULDIP SINGH, HON'BLE JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, HON'BLE ACCOUNTANT MEMBER ITA NOs. 3857 & 3858/MUM/2018 (A.Ys: 2009-10 & 2010-11) Smt Suman Gupta v. DCIT – CC-4(2) 6th New Harileela House Room No. 1918, 19th Floor Mint Road, Fort Air India Building Mumbai - 400001 Nariman Point Mumbai – 400 021 PAN: AHQPG0220P (Appellant) (Respondent) ITA NOs. 3797 & 3800/MUM/2018 (A.Ys: 2010-11 & 2009-10) DCIT – CC-4(2) v. Smt Suman Gupta Room No. 1918, 19th Floor 6th Floor, Apeejay House Air India Building 130-Mumbai Samachar Marg Fort,…

Jaya Hospitals, Warangal vs. ACIT, Circle-1, Warangal

In the result, ITA No.616/Hyd/2022 is treated as allowed for statistical purposes and ITA No

ITA 617/HYD/2022[2015-16]Status: DisposedITAT Hyderabad30 Dec 2022AY 2015-16

Bench: Shri Rama Kanta Panda & Shri K. Narasimha Chary

For Appellant: Shri K. A. Sai Prasad, CAFor Respondent: Shri Kumar Aditya
Section 37Section 40

…to आयकर अपीलीय अधिकरण, हैदराबाद पीठ में IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES “B”, HYDERABAD BEFORE SHRI RAMA KANTA PANDA, ACCOUNTANT MEMBER & SHRI K. NARASIMHA CHARY, JUDICIAL MEMBER ITA Nos.616 & 617/Hyd/2022 Assessment Years: 2013-14 and 2015-16 Jaya Hospital, Vs. The Income Tax Officer, C/o.Katrapati & Associates, Ward – 1, 1-1-298/2/B3, 1st Floor, Warangal. Ashok Nagar, Street No.1, Hyderabad – 500 020. PAN : AABFJ2166R. (Appellant) (Respondent) Assessee by: Shri K. A. Sai Prasad, CA Revenue by: Shri Kumar Aditya. Date of hearing: 29.12.2022 Date of pronouncement: 30.12.2022 आदेश / ORDE…

Jaya Hospitals, Warangal vs. ITO, Ward-1, Warangal

In the result, ITA No.616/Hyd/2022 is treated as allowed for statistical purposes and ITA No

ITA 616/HYD/2022[2013-14]Status: DisposedITAT Hyderabad30 Dec 2022AY 2013-14

Bench: Shri Rama Kanta Panda & Shri K. Narasimha Chary

For Appellant: Shri K. A. Sai Prasad, CAFor Respondent: Shri Kumar Aditya
Section 37Section 40

…to आयकर अपीलीय अधिकरण, हैदराबाद पीठ में IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES “B”, HYDERABAD BEFORE SHRI RAMA KANTA PANDA, ACCOUNTANT MEMBER & SHRI K. NARASIMHA CHARY, JUDICIAL MEMBER ITA Nos.616 & 617/Hyd/2022 Assessment Years: 2013-14 and 2015-16 Jaya Hospital, Vs. The Income Tax Officer, C/o.Katrapati & Associates, Ward – 1, 1-1-298/2/B3, 1st Floor, Warangal. Ashok Nagar, Street No.1, Hyderabad – 500 020. PAN : AABFJ2166R. (Appellant) (Respondent) Assessee by: Shri K. A. Sai Prasad, CA Revenue by: Shri Kumar Aditya. Date of hearing: 29.12.2022 Date of pronouncement: 30.12.2022 आदेश / ORDE…

D.C.I.T., CC - 4(4), Kolkata vs. Electrosteel Casting Ltd., Kolkata

In the result, the appeal of the revenue is dismissed

ITA 485/KOL/2022[2016-2017]Status: DisposedITAT Kolkata29 Dec 2022AY 2016-2017

Bench: Shri Rajpal Yadav, Vice- & Shri Girish Agrawalassessment Years: 2016-17 Deputy Commissioner Of M/S. Electrosteel Casting Ltd. Income-Tax, Central G.K. Tower Vs. Circle-4(4), Kolkata. 19, Camac Street Kolkata -700017 (Pan: Aaace4975B) (Appellant) (Respondent)

Section 143(3)Section 14ASection 43(1)

…Assessee has filed the necessary charts in this regard showing own funds and investments. The learned counsel for the Assessee has placed strong reliance on the decision of the Hon'ble Bombay High Court in the case of CIT Vs. Reliance Utilities and Power Ltd. 313 ITR 340 (Bom) wherein proposition similar to the one canvass by the Assessee was accepted. 143. We are of the view the submission made with regard to availability of own funds in the light of overall funds position without insisting on direct nexus between investments and own funds would be the right approach as held by the Hon’ble Bombay High Court in t…

M/S. Jai Corp Ltd., Mumbai vs. Dy CIT -Circle-6(4), Mumbai

In the result, both the appeals filed by the Revenue and assessee are dismissed

ITA 1140/MUM/2021[2015-16]Status: DisposedITAT Mumbai21 Dec 2022AY 2015-16

Bench: Shri Prashant Maharishi, Am & Ms. Kavitha Rajagopal, Jm Asst. Cit-3(2)(1) M/S. Jai Corporation Ltd. Room No. 674, 6Th Floor, H-B, Mittal Tower, Aayakar Bhavan, M. K. Road, Vs. Free Press Journal Marg, Mumbai-400 020 Nariman Point, Mumbai-400 021

For Respondent: Shri Vranda U. Matkarni
Section 10(34)Section 143(3)Section 14ASection 250

…s investment, which earned dividend income than the total investment which does not earn exempt income. The ld.CIT(A) placed its reliance in the case of Hon'ble Jurisdictional High Court decision in the case of CIT vs. Reliance Utilities & Power Ltd. [2009] 313 ITR 340 (Bom) which held that if the interest free fund of the assessee is sufficient to meet its investment and when the assessee has availed loan, it can be presumed that the investments were made from the interest free funds of the assessee. The ld. CIT(A) held that the assessee’s own funds are in excess than the investments made by the assessee, th…

Asstt. CIT - 3(2)(1), Mumbai vs. M/S Jal Corp. Ltd., Nynvau

In the result, both the appeals filed by the Revenue and assessee are dismissed

ITA 1872/MUM/2020[2015-16]Status: DisposedITAT Mumbai21 Dec 2022AY 2015-16

Bench: Shri Prashant Maharishi, Am & Ms. Kavitha Rajagopal, Jm Asst. Cit-3(2)(1) M/S. Jai Corporation Ltd. Room No. 674, 6Th Floor, H-B, Mittal Tower, Aayakar Bhavan, M. K. Road, Vs. Free Press Journal Marg, Mumbai-400 020 Nariman Point, Mumbai-400 021

For Respondent: Shri Vranda U. Matkarni
Section 10(34)Section 143(3)Section 14ASection 250

…s investment, which earned dividend income than the total investment which does not earn exempt income. The ld.CIT(A) placed its reliance in the case of Hon'ble Jurisdictional High Court decision in the case of CIT vs. Reliance Utilities & Power Ltd. [2009] 313 ITR 340 (Bom) which held that if the interest free fund of the assessee is sufficient to meet its investment and when the assessee has availed loan, it can be presumed that the investments were made from the interest free funds of the assessee. The ld. CIT(A) held that the assessee’s own funds are in excess than the investments made by the assessee, th…

M/S. Mercator Ltd, Mumbai vs. The Dy CIT 5(2), Mumbai

In the result, the appeal filed by the revenue and CO by the asssessee are dismissed and the asseessee appeal is allowed for statistical purposes

ITA 7278/MUM/2017[2010-11]Status: DisposedITAT Mumbai21 Dec 2022AY 2010-11

Bench: Shri Baskaran Br & Shri Pavan Kumar Gadaleita No. 7278/Mum/2017 (A.Y: 2010-11) & Co No. 21/Mum/2019 (2010-11) (Arising Out Of Ita No. 29/Mum/2018) Mercator Ltd Vs. Dcit 3Rd Floor, Mittal Tower- Range 5(2) B Wing, Nariman Point Aayakar Bhavan, Mk Mumbai- 400021. Road, Mumbai-400020. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaacm5007A Appellant .. Respondent Dy. Cit Vs. Mercator Lines Ltd Range 5(2)(2), Rno.571 3Rd Floor, Mittal Tower- Aayakar Bhavan, Mk B Wing, Nariman Point Road, Mumbai – 400 021. Mumbai - 400020. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaacm5007A Appellant .. Respondent Assessee By : Mr.Nikhil Tiwari.Ar Revenue By : Mr.Krishnakumarmishra.Dr Date Of Hearing 30.11.2022 Date Of Pronouncement 22.12.2022 आदेश / O R D E R Per Pavan Kumar Gadale Jm: 29/Mum/2018 & Co No. 21/Mum/2019 M/S. Mercator Ltd, Mumbai. The Cross Appeal Is Filed By The Assessee & The Revenue Against The Order Of The Commissioner Of Income Tax (Appeals) (Cit(A))-57, Mumbai Passed U/S 250 Of The Act & The Assessee Has Filed The Cross Objection(Co) In The Revenue Appeal.

For Appellant: Mr.Nikhil Tiwari.ARFor Respondent: Mr.KrishnaKumarMishra.DR
Section 143(3)Section 14ASection 250

…IN THE INCOME TAX APPELLATE TRIBUNAL “J” BENCH, MUMBAI BEFORE SHRI BASKARAN BR, ACCOUNTANT MEMBER & SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA No. 7278/Mum/2017 (A.Y: 2010-11) & CO No. 21/Mum/2019 (2010-11) (Arising out of ITA No. 29/Mum/2018) Mercator Ltd Vs. DCIT 3rd Floor, Mittal Tower- Range 5(2) B Wing, Nariman Point Aayakar Bhavan, MK Mumbai- 400021. Road, Mumbai-400020. "थायी लेखा सं./जीआइआर सं./PAN/GIR No. : AAACM5007A Appellant .. Respondent Dy. CIT Vs. Mercator Lines Ltd Range 5(2)(2), RNo.571 3rd Floor, Mittal Tower- Aayakar Bhavan, MK B Wing, Nariman Point Road, Mumbai – 400 021. Mumbai - 400020.…

Dhnalaxmi Bank Limited, Trichur vs. The Pr CIT, Thrissur

Appeal is allowed

ITA 56/COCH/2021[2016-17]Status: DisposedITAT Cochin19 Dec 2022AY 2016-17

Bench: Shri N. V. Vasudevan & Ms. Padmavathy S.Assessment Year : 2016-17

For Appellant: Shri Harikrishnanunny, CAFor Respondent: Smt. M. Rajasekhar, CIT(DR)
Section 10(33)Section 14Section 143Section 143(2)Section 14ASection 263

…is clear from the said statement that the availability of profit, share capital and reserves & surplus was much more than investments made by the assessee which could yield tax free income. 41. The Hon'ble Bombay High Court in Reliance Utilities & Power Ltd. 313 ITR 340 (Bom) has held that where the interest free funds far exceed the value of investments, it should be considered that investments have been made out of interest free funds and no disallowance u/s. 14A towards any interest expenditure can be made. This view was again confirmed by the Hon'ble Bombay High Court in CIT v. HDFC Bank Ltd., ITA No.330 of…

Sahana Builders Developers Private Limited, Mumbai vs. CIT(A) 52, Mumbai

In the result, appeal filed by assessee is partly allowed for statistical purposes

ITA 2217/MUM/2021[2013-14]Status: DisposedITAT Mumbai12 Dec 2022AY 2013-14

Bench: Shri Kuldip Singh & Shri Gagan Goyalm/S Sahana Builders & Developers Pvt. Ltd., 402, Plot No.54, Sagar Avenue, S.V. Road, Andheri (West), Mumbai-400058. Pan: Aahcs4782P ...... Appellant Vs. Cit(A)-52, 6Th Floor, Aayakar Bhavan, M.K. Marg, Mumbai-400020. ..... Respondent Dy.Cit-4(2), Room No. 1918, 19Th Floor, Air India Building, Nariman Point, Mumbai-400021. ..... Appellant Vs. M/S Sahana Builders & Developers Pvt. Ltd., 402, Plot No.54B, Junction Of S.V. Road & Lallubhai Park, Andheri (West), Mumbai-400058. Pan: Aahcs4782P ...... Respondent Appellant/Assessee By : Sh. Amit Bothra & Ms. Manish Chandak, Ar Respondent/Revenue By : Sh. Soumendu Kumar Dash- Sr. Dr M/S Sahana Builders & Developers Pvt. Ltd. Date Of Hearing : 14/09/2022 Date Of Pronouncement : 12/12/2022 Order Per Gagan Goyal, A.M:

For Appellant: Sh. Amit Bothra &For Respondent: Sh. Soumendu Kumar Dash- Sr. DR
Section 14ASection 36Section 36(1)(ii)Section 37(1)Section 41(1)

…is the amount of assessees own fund i.e. Rs. 21.81 cr. and Rs. 42.30 cr. respectively. For the purposes of disallowance made under Rule 8D2(ii) we heavily relied upon the Hon’ble Jurisdictional high court in the case of Reliance Utilities and Power Ltd (2009) 313 ITR 340. With reference to the decision of the Hon’ble jurisdictional high court we found that no disallowance can be made under Rule 8D2 (ii) when assessees own fund is more than the amount of investments made. Assumption has to be drawn in favour of assessee that investments made is out of own funds whether interest bearing borrowed funds are there or…

Wns Global Services P. Ltd., Mumbai vs. Addl/Jt/Dy/Asstt/CIT/ITO, Nationa Faceless Assessment Centre, Dilhi

In the result, appeal filed by the assessee is allowed

ITA 1259/MUM/2021[2016-17]Status: DisposedITAT Mumbai09 Dec 2022AY 2016-17

Bench: Shri Vikas Awasthy & Shri Gagan Goyalwns Global Services Pvt. Ltd., Pl 10, Gate No.4, Godrej & Boyce Complex, Pirojshanagar, Lbs Marg, Vikhroli (West), Mumbai-400079. Pan: Aaacw2598L ...... Appellant Vs.. Addl./Jt/Dy./Acit/Ito/Nfac, Room No. 455, Circle-14(3)(1), Mumbai. ..... Respondent Appellant/Assessee By : Sh. Porus Kaka, Sr. Adv. & Sh. Manish Kant Respondent/Revenue By : Sh. Jasdeep Singh, Cit-Dr

For Appellant: Sh. Porus Kaka, Sr. Adv. &For Respondent: Sh. Jasdeep Singh, CIT-DR
Section 143(3)Section 144C(13)Section 92B

…ed for a specific purpose; Reliance in this regard is placed on the following judicial precedents: PCIT v Sintex Industries Ltd (2018) (93 taxmann.com 24) (SC) CIT v Reliance Industries Ltd (2019) (410 ITR 466)(SC) CIT v Reliance Utilities & Power Ltd (2009) (313 ITR 340) (Bom) HDFC Bank Ltd v DCIT (2016) (383 ITR 529)(Bom) CIT v HDFC Bank Ltd (2014)(366 ITR 105)(Bom) (f) Without prejudice to previous submission -Scientific apportionment of administrative expenses As mentioned, the Assessee has earned a dividend income of INR 32.99 crs. And the disallowance computed by the AO by invoking Rule 8D is INR 3.57 crs.…