Assessee received exempt dividend income but it had not offered any disallowance of expenditure under section 14A contending that except for issuing of cheques in favour of funds and accounting statements in its books of account, no other activity was done by company qua its aforesaid exempt income yielding investments and thus, no cost/expenses could be attributed towards earning of exempt income.   Assessing Officer  held that  some part of expenditure would have been incurred by assessee towards earning of exempt dividend income and he computed disallowance as per methodology contemplated under rule 8D(2)(iii) of the Act. Held that  since Assessing Officer had failed to record his dissatisfaction as regards claim of assessee that no part of expenditure claimed as deduction could be attributed towards earning of exempt dividend income, he had wrongly assumed jurisdiction under section 14A. Addition was deleted.  (AY. 2009-10)