Dismissing the appeal of the revenue the Court held that ; rule 8D of the Income-tax Rules, 1962 inserted with effect from February 14, 2007 is prospective in operation and is not applicable in assessment years 2004-05, 2005-06 and 2006-07. (AY.2004 -05 to 2006 -07)
CIT v. Jammu Central Co-Op. Bank Ltd. (2018) 407 ITR 362 (J&K) (HC)
S. 14A : Disallowance of expenditure – Exempt income – Rule 8D is prospective in operation and is not applicable in assessment years 2004-05, 2005-06 and 2006-07.[ R.8D ]