What is South Indian Bank Ltd. v. CIT authority for?

The mixed fund theory is affirmed, holding that no disallowance of interest expenditure under Section 14A can be made if the assessee possesses sufficient non-interest bearing funds, such as capital and reserves, to cover investments made in tax-free securities.

How many judgments cite South Indian Bank Ltd. v. CIT?

508 judgments on BharatTax cite South Indian Bank Ltd. v. CIT (438 ITR 1), spanning 2011 to 2026.

Which sections of the Income Tax Act does South Indian Bank Ltd. v. CIT come up under?

It is most often cited in judgments turning on Section 14A, Section 143(3), Section 115JB, Section 8D, Section 153A, Section 36(1)(viia).

South Indian Bank Ltd. v. CIT (438 ITR 1)

ACIT-3(4), Mumbai vs. Union Bank of India ( Erstwhile Corporation Bank), Mumbai

In the result both the appeals filed by the revenue are partly allowed

ITA 1228/MUM/2024[2020-21]Status: DisposedITAT Mumbai20 Jan 2025AY 2020-21

Bench: Shri.B.R. Baskaran & Shri Anikesh Banerjee

For Appellant: Shri Ananthan S / Ms. LalithaFor Respondent: ShriAshish Heliwal, CIT DR

Section 115JSection 143(3)Section 14ASection 250Section 251(1)(a)Section 36Section 36(1)(iii)Section 36(1)(vii)Section 36(1)(viia)

…nd that the assessee had incurred efforts to earn the exempt income. Further, the Ld. CIT(A) noted that the shares in question were treated as stock-in-trade. The Ld. CIT(A) relied on the judgment of the Hon’able Supreme Court in South Indian Bank Ltd vs CIT, 438 ITR 1 (SC) and the decision of the ITAT Hyderabad in the case of Andhra Bank vs. DCIT [2015 (5) TMI 478]. Additionally, the Ld. CIT(A) observed that in the assessee’s own case for the A.Y. 2015–16, the issue was similarly decided in favor of the assessee. This decision was consistent with the ITAT Hyderabad Bench's ruling in ITA Nos. 244, 245, 246/Hyd/2…

Deputy Commissioner of Income Tax, Circle 4(2), Delhi, I.P.Estate vs. Bureau Veritas Consumer Products Services(India) Pvt. Ltd., Lajpat Nagar

ITA 3158/DEL/2023[2017-18]Status: DisposedITAT Delhi14 Jan 2025AY 2017-18

Bench: Ms. Madhumita Roy & Shri Amitabh Shukla, Accountnat Member [Assessment Year: 2013-14] The Assistant Commissioner Of M/S Dalmia Cement Bharat Ltd. Income Tax, Circle-1, Dalmiapuram, Williams Road, Vs Tamilnadu, 621651 Cantonment, Trichy, Tamil Nadu-620001 Pan-Aadca9414C Assessee Revenue Cross Objection No.63/Chny/2018 (Arising Out Of Ita No.3157/Chny2017) [Assessment Year: 2013-14] M/S Dalmia Cement Bharat Ltd. The Assistant Commissioner Of Dalmiapuram, Income Tax, Circle-1, Tamilnadu-621651 Vs Williams Road, Cantonment, Trichy, Tamil Nadu-620001 Pan- Aadca9414C Assessee Revenue [Assessment Year: 2014-15] The Assistant Commissioner Of M/S Dalmia Cement Bharat Ltd. Income Tax, Circle-1, Dalmiapuram, Williams Road, Vs Tamilnadu, 621651 Cantonment, Trichy, Tamil Nadu-620001 Pan-Aadca9414C Assessee Revenue

Section 14ASection 32(1)(iia)

…support of its arguments, the ld. Counsel has placed on record a voluminous paper book indicating availability of surplus own funds. The appellant assessee has placed reliance upon the decision of Hon’ble Apex Court in South Indian Bank Ltd. -vs.- CIT (2021) 438 ITR 1 (SC) holding that in case interest free own funds available with assessee exceeds its Investments, it could be presumed that Investments were made through assessee own funds. Hence, no disallowance u/s 14A could be made. The said decision of Apex Court was stated to have been followed in the case of DCIT – vs.- Dalmia Bharat Sugar & Industries Limi…

ACIT Circle 8(3)(1), Mumbai vs. Ganjam Trading Co. Pvt. Ltd., Mumbai

In the result, the appeal of the Revenue is dismissed and the Cross

ITA 458/MUM/2024[2018-19]Status: DisposedITAT Mumbai17 Dec 2024AY 2018-19

Bench: Shri B.R. Baskaran & Shri Raj Kumar Chauhan: A.Y. : 2018-19 C.O. No. 99/Mum/2024 : A.Y. : 2018-19 (Arising Out Of Ita No. 458/M/24)

For Appellant: Shri Madhur Agrawal, Advocate &For Respondent: Dr. Kishor Dhule, CIT-DR

Section 115JSection 14ASection 2Section 32

…e case of South Indian Bank Ltd. His observations in this regard are extracted below:- “5.2. In this regard, that the issue of allocation of interest cost to exempt income has been settled by the Honorable Supreme Court in the case of South Indian Bank Ltd – (438 ITR 1 – Sept 2021), in favour of the assessee wherein the Hon Supreme Court held that if investments in securities is made out of common funds and the assessee has available non-interest-bearing funds larger than the investments made in tax-free securities, then in such cases, 14 C.O.No. 99/Mum/2024 disallowance of interest under section 14A cannot be m…

M/S. Altrade Minerals Pvt. Limited, Rourkela vs. ACIT, Central Circle, Sambalpur

In the result, appeal of the assessee is partly allowed

ITA 65/CTK/2023[2011-12]Status: DisposedITAT Cuttack16 Dec 2024AY 2011-12

Bench: Before Shri George Mathanmember & Manish Agarwal Manish Agarwalassessment Year : 2011-12 M/S. Altrade Minerals Pvt /S. Altrade Minerals Pvt Vs. Asst. Asst. Commissioner Commissioner Of Of Ltd., C/O. Kadmawala & Co., C/O. Kadmawala & Co., Income Tax, Central Circle, Income Tax, Central Circle, C.A., C.A., Budhram Budhram Oram Oram Sambalpur Market, Market, Kachery Kachery Road, Road, Rourkela. Pan/Gir No. No.Aafca 7136 F (Appellant (Appellant) .. ( Respondent Respondent) Assessee By : Shri M.R.Sahu, Ca Revenue By : Shri S.C.Mohanty, Sr Dr : Shri S.C.Mohanty, Sr Dr Date Of Hearing : 16/12/20 2024 Date Of Pronouncement : 16/12/20 024

For Appellant: Shri M.R.Sahu, CAFor Respondent: Shri S.C.Mohanty, Sr DR

Section 120(4)(b)Section 127Section 143(2)Section 143(3)Section 14A

…IN THE INCOME TAX APPELLATE TRIBUNAL, IN THE INCOME TAX APPELLATE TRIBUNAL, IN THE INCOME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK BEFORE BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER MEMBER AND MANISH AGARWAL MANISH AGARWAL, ACCOUNTANT MEMBER , ACCOUNTANT MEMBER Assessment Year : 2011-12 M/s. Altrade Minerals Pvt /s. Altrade Minerals Pvt Vs. Asst. Asst. Commissioner Commissioner of of Ltd., C/O. Kadmawala & Co., C/O. Kadmawala & Co., Income Tax, Central Circle, Income Tax, Central Circle, C.A., C.A., Budhram Budhram Oram Oram Sambalpur Market, Market, Kachery Kachery Road, Road, Rourkela. PAN/GIR No. No.AAFCA…

Abhaykumar Sevantilal Sanghavi, Deesa vs. The ACIT, Circle- Palanpur, Palanpur

Accordingly, these grounds are dismissed as infructuous

ITA 1368/AHD/2024[2017-18]Status: DisposedITAT Ahmedabad13 Dec 2024AY 2017-18

Bench: Shri T.R. Senthil Kumar & Shri Makarand V. Mahadeokarआयकर अपील सं /Ita Nos.1367/Ahd/2024 & 1368/Ahd/2024 िनधा"रण वष" /Assessment Years :2016-17 & 2017-18 Respectively Abhaykumar Sevantilal Acit Circle, Palanpur बनाम/ Sanghavi [Old Jurisdiction-Circle, V/S. Sanghavi Brothers Palanpur. 1St Floor, Swastik Bldg New Jurisdiction-Circle, Nr. City Police Station Gandhinagar.] Nr. Dena Bank, Main Bazar Deesa – 385 535 (Gujarat) "थायी लेखा सं./Pan: Afbps 1660 L (अपीलाथ%/ Appellant) (&' यथ%/ Respondent) Assessee By : Shri Mehul Shah, Ar Revenue By : Shri B.P. Srivastava, Sr.Dr सुनवाई की तारीख/Date Of Hearing : 05/12/2024 घोषणा की तारीख /Date Of Pronouncement: 13/12/2024 आदेश/O R D E R Per Makarand V. Mahadeokar, Am: Both These Appeals Preferred By The Assessee Pertain To The Assessment Years (Ays) 2016-17 & 2017-18. Since The Issues Involved Are Common & Connected, They Were Heard Together & Are Being Disposed Of By This Consolidated Order. The Appeals Arise Out Of The Orders Passed By The Learned Commissioner Of Income Tax (Appeals), National Faceless Appeal Centre (Nfac), Delhi [Hereinafter Referred To As “Cit(A)”] Under Section 250 Of The

For Appellant: Shri Mehul Shah, ARFor Respondent: Shri B.P. Srivastava, Sr.DR

Section 115BSection 143(1)Section 143(3)Section 14ASection 23(4)Section 250Section 68

…ient interest-free funds in the form of owned capital and unsecured loans, exceeding the alleged investments in personal assets and interest-free advances for both assessment years. Following the principles established in South Indian Bank Ltd. vs. CIT (2021) 438 ITR 1 (SC) and the decision of the Co-ordinate Bench in Shreyans S. Sanghavi vs. ACIT (ITA No. 520/AHD/2020), it must be presumed that the investments were made from interest-free funds in the absence of a direct nexus between borrowed funds and the investments. 9.1. Further, the assessee demonstrated that a substantial portion of the personal assets an…

Abhaykumar Sevantilal Sanghavi, Deesa vs. Old Jurisdiction- Circle, Palanpur New Jurisdiction-Circle, Gandhinagar

Accordingly, these grounds are dismissed as infructuous

ITA 1367/AHD/2024[2016-17]Status: DisposedITAT Ahmedabad13 Dec 2024AY 2016-17

Bench: Shri T.R. Senthil Kumar & Shri Makarand V. Mahadeokarआयकर अपील सं /Ita Nos.1367/Ahd/2024 & 1368/Ahd/2024 िनधा"रण वष" /Assessment Years :2016-17 & 2017-18 Respectively Abhaykumar Sevantilal Acit Circle, Palanpur बनाम/ Sanghavi [Old Jurisdiction-Circle, V/S. Sanghavi Brothers Palanpur. 1St Floor, Swastik Bldg New Jurisdiction-Circle, Nr. City Police Station Gandhinagar.] Nr. Dena Bank, Main Bazar Deesa – 385 535 (Gujarat) "थायी लेखा सं./Pan: Afbps 1660 L (अपीलाथ%/ Appellant) (&' यथ%/ Respondent) Assessee By : Shri Mehul Shah, Ar Revenue By : Shri B.P. Srivastava, Sr.Dr सुनवाई की तारीख/Date Of Hearing : 05/12/2024 घोषणा की तारीख /Date Of Pronouncement: 13/12/2024 आदेश/O R D E R Per Makarand V. Mahadeokar, Am: Both These Appeals Preferred By The Assessee Pertain To The Assessment Years (Ays) 2016-17 & 2017-18. Since The Issues Involved Are Common & Connected, They Were Heard Together & Are Being Disposed Of By This Consolidated Order. The Appeals Arise Out Of The Orders Passed By The Learned Commissioner Of Income Tax (Appeals), National Faceless Appeal Centre (Nfac), Delhi [Hereinafter Referred To As “Cit(A)”] Under Section 250 Of The

For Appellant: Shri Mehul Shah, ARFor Respondent: Shri B.P. Srivastava, Sr.DR

Section 115BSection 143(1)Section 143(3)Section 14ASection 23(4)Section 250Section 68

…ient interest-free funds in the form of owned capital and unsecured loans, exceeding the alleged investments in personal assets and interest-free advances for both assessment years. Following the principles established in South Indian Bank Ltd. vs. CIT (2021) 438 ITR 1 (SC) and the decision of the Co-ordinate Bench in Shreyans S. Sanghavi vs. ACIT (ITA No. 520/AHD/2020), it must be presumed that the investments were made from interest-free funds in the absence of a direct nexus between borrowed funds and the investments. 9.1. Further, the assessee demonstrated that a substantial portion of the personal assets an…

Rallis India Limited, Mumbai vs. The Asstt. Commissioner of Income Tax Circle 8(1)(1), Mumbai

ITA 4210/MUM/2024[2020-21]Status: DisposedITAT Mumbai13 Dec 2024AY 2020-21

Bench: Shri Narendra Kumar Billaiya, Hon'Ble & Shri Raj Kumar Chauhan, Hon'Ble

For Appellant: Shri M.M. Golwala, A/RFor Respondent: Shri Pankaj Kumar, CIT, D/R

Section 115JSection 143(3)Section 14ASection 35

…9 of 2018) (Bom HC) and PCIT vs. Tata Capital Ltd. (1081 of 2018) (Bom HC). Both these decisions are by the Hon'ble Jurisdictional High Court of Bombay and further relied upon the decision of the Hon'ble Supreme Court in the case of South Indian bank vs. CIT (438 ITR 1)(SC). 12. Per contra, the ld. D/R supported the findings of the AO. 13. We have carefully considered the orders of the authorities below. The undisputed fact is that the assessee has own interest free funds to the tune of Rs. 1409 Crores and has earned cash profits during the year under consideration to the tune of Rs.239.27 Crores. The interest fr…

ACIT, Circle-6(1), New Delhi vs. Chl Limited, New Delhi

In the result, appeals of the Assessee in ITA Nos

ITA 9298/DEL/2019[2015-16]Status: DisposedITAT Delhi10 Dec 2024AY 2015-16

Bench: Before Shri Shamim Yahya & Shri Yogesh Kumar U.S.Ita No. 8777 To 8780 /Del/2019 (A.Y 2013-14 To 2016-17) Chl Limited Acit The Hotel Surya New Circle-6(1) Friends Colony, Vs. New Delhi New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Acit Chl Limited Circle-6(1) The Hotel Surya New New Delhi Vs. Friends Colony, New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Appellant By Sh. Satish Khosla, Adv, Sh. Manish Malik, Adv & Sh. Pankaj Jain, Ar Respondent By Sh. Rajesh Kumar Dhanesta, Sr. Dr Date Of Hearing 06/11/2024 Date Of Pronouncement 10/12/2024

Section 14ASection 36(1)(iii)

…een made out of the tax free funds available. The Ld. Counsel for the Assessee relied on the following Judgments and sought for allowing the Grounds of the Assessee and prayed for dismissal of the Ground of the Revenue: - a) South Indian Bank Vs. CIT-(2001) 438 ITR 1(SC) b) CIT (LTU) Vs. Reliance Industries Ltd.-410 ITR 466(SC) 3.4. Per contra, the Department's Representative relying on the Assessment Orders sought for dismissal of the Grounds of the Assessee and prayed for allowing the Ground of the Revenue. CHL Ltd. Vs. ACIT& ACIT Vs. CHL Ltd 4. We have heard both the parties and perused the material avail…

Chl Limited, New Delhi vs. ACIT, Circle-6(1), New Delhi

In the result, appeals of the Assessee in ITA Nos

ITA 8780/DEL/2019[2016-17]Status: DisposedITAT Delhi10 Dec 2024AY 2016-17

Bench: Before Shri Shamim Yahya & Shri Yogesh Kumar U.S.Ita No. 8777 To 8780 /Del/2019 (A.Y 2013-14 To 2016-17) Chl Limited Acit The Hotel Surya New Circle-6(1) Friends Colony, Vs. New Delhi New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Acit Chl Limited Circle-6(1) The Hotel Surya New New Delhi Vs. Friends Colony, New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Appellant By Sh. Satish Khosla, Adv, Sh. Manish Malik, Adv & Sh. Pankaj Jain, Ar Respondent By Sh. Rajesh Kumar Dhanesta, Sr. Dr Date Of Hearing 06/11/2024 Date Of Pronouncement 10/12/2024

Section 14ASection 36(1)(iii)

…een made out of the tax free funds available. The Ld. Counsel for the Assessee relied on the following Judgments and sought for allowing the Grounds of the Assessee and prayed for dismissal of the Ground of the Revenue: - a) South Indian Bank Vs. CIT-(2001) 438 ITR 1(SC) b) CIT (LTU) Vs. Reliance Industries Ltd.-410 ITR 466(SC) 3.4. Per contra, the Department's Representative relying on the Assessment Orders sought for dismissal of the Grounds of the Assessee and prayed for allowing the Ground of the Revenue. CHL Ltd. Vs. ACIT& ACIT Vs. CHL Ltd 4. We have heard both the parties and perused the material avail…

Chl Limited, New Delhi vs. ACIT, Circle-6(1), New Delhi

In the result, appeals of the Assessee in ITA Nos

ITA 8779/DEL/2019[2015-16]Status: DisposedITAT Delhi10 Dec 2024AY 2015-16

Bench: Before Shri Shamim Yahya & Shri Yogesh Kumar U.S.Ita No. 8777 To 8780 /Del/2019 (A.Y 2013-14 To 2016-17) Chl Limited Acit The Hotel Surya New Circle-6(1) Friends Colony, Vs. New Delhi New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Acit Chl Limited Circle-6(1) The Hotel Surya New New Delhi Vs. Friends Colony, New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Appellant By Sh. Satish Khosla, Adv, Sh. Manish Malik, Adv & Sh. Pankaj Jain, Ar Respondent By Sh. Rajesh Kumar Dhanesta, Sr. Dr Date Of Hearing 06/11/2024 Date Of Pronouncement 10/12/2024

Section 14ASection 36(1)(iii)

…een made out of the tax free funds available. The Ld. Counsel for the Assessee relied on the following Judgments and sought for allowing the Grounds of the Assessee and prayed for dismissal of the Ground of the Revenue: - a) South Indian Bank Vs. CIT-(2001) 438 ITR 1(SC) b) CIT (LTU) Vs. Reliance Industries Ltd.-410 ITR 466(SC) 3.4. Per contra, the Department's Representative relying on the Assessment Orders sought for dismissal of the Grounds of the Assessee and prayed for allowing the Ground of the Revenue. CHL Ltd. Vs. ACIT& ACIT Vs. CHL Ltd 4. We have heard both the parties and perused the material avail…

Chl Limited, New Delhi vs. ACIT, Circle-6(1), New Delhi

In the result, appeals of the Assessee in ITA Nos

ITA 8778/DEL/2019[2014-15]Status: DisposedITAT Delhi10 Dec 2024AY 2014-15

Bench: Before Shri Shamim Yahya & Shri Yogesh Kumar U.S.Ita No. 8777 To 8780 /Del/2019 (A.Y 2013-14 To 2016-17) Chl Limited Acit The Hotel Surya New Circle-6(1) Friends Colony, Vs. New Delhi New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Acit Chl Limited Circle-6(1) The Hotel Surya New New Delhi Vs. Friends Colony, New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Appellant By Sh. Satish Khosla, Adv, Sh. Manish Malik, Adv & Sh. Pankaj Jain, Ar Respondent By Sh. Rajesh Kumar Dhanesta, Sr. Dr Date Of Hearing 06/11/2024 Date Of Pronouncement 10/12/2024

Section 14ASection 36(1)(iii)

…een made out of the tax free funds available. The Ld. Counsel for the Assessee relied on the following Judgments and sought for allowing the Grounds of the Assessee and prayed for dismissal of the Ground of the Revenue: - a) South Indian Bank Vs. CIT-(2001) 438 ITR 1(SC) b) CIT (LTU) Vs. Reliance Industries Ltd.-410 ITR 466(SC) 3.4. Per contra, the Department's Representative relying on the Assessment Orders sought for dismissal of the Grounds of the Assessee and prayed for allowing the Ground of the Revenue. CHL Ltd. Vs. ACIT& ACIT Vs. CHL Ltd 4. We have heard both the parties and perused the material avail…

Chl Limited, New Delhi vs. ACIT, Circle-6(1), New Delhi

In the result, appeals of the Assessee in ITA Nos

ITA 8777/DEL/2019[2013-14]Status: DisposedITAT Delhi10 Dec 2024AY 2013-14

Bench: Before Shri Shamim Yahya & Shri Yogesh Kumar U.S.Ita No. 8777 To 8780 /Del/2019 (A.Y 2013-14 To 2016-17) Chl Limited Acit The Hotel Surya New Circle-6(1) Friends Colony, Vs. New Delhi New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Acit Chl Limited Circle-6(1) The Hotel Surya New New Delhi Vs. Friends Colony, New Delhi Pan No: Aaacc2587M (Appellant) (Respondent) Appellant By Sh. Satish Khosla, Adv, Sh. Manish Malik, Adv & Sh. Pankaj Jain, Ar Respondent By Sh. Rajesh Kumar Dhanesta, Sr. Dr Date Of Hearing 06/11/2024 Date Of Pronouncement 10/12/2024

Section 14ASection 36(1)(iii)

…een made out of the tax free funds available. The Ld. Counsel for the Assessee relied on the following Judgments and sought for allowing the Grounds of the Assessee and prayed for dismissal of the Ground of the Revenue: - a) South Indian Bank Vs. CIT-(2001) 438 ITR 1(SC) b) CIT (LTU) Vs. Reliance Industries Ltd.-410 ITR 466(SC) 3.4. Per contra, the Department's Representative relying on the Assessment Orders sought for dismissal of the Grounds of the Assessee and prayed for allowing the Ground of the Revenue. CHL Ltd. Vs. ACIT& ACIT Vs. CHL Ltd 4. We have heard both the parties and perused the material avail…