Tribunal held that Amount received under agreement with Tamil Nadu Water Supply and Drainage Board for maintaining infrastructure facility . Followed Katira Construction Ltd v. UOI (2013) 352 ITR 513 (Guj)(HC) . Tribunal also held that disallowance u/s 14A cannot exceed exempt income .( AY.2009-10)
Doshion Ltd. v ACIT (OSD) (2021)85 ITR 12 (SN.)(Ahd) (Trib)
S. 80IA :Industrial undertakings – Infrastructure development – Amount received under agreement with Tamil Nadu Water Supply and Drainage Board for maintaining infrastructure facility — Eligible for deduction- Disallowance u/s 14A cannot exceed exempt income [ S.14A , 80IA(4) , R.8D ]