Held that when the assessee had sufficient own funds, disallowance of interest is not valid. Direction of CIT(A) to consider only those investments upon which exempt income earned is held to be proper. (AY. 2012-13)
Kanoria Chemicals and Industries Ltd. v. ACIT (2021) 91 ITR 82 (SN) /(2022) 210 DTR 279(Kol.)(Trib.)
S. 14A : Disallowance of expenditure-Exempt income-Interest expenditure-Sufficient own funds-Disallowance is not valid-Direction to consider only those investments upon which exempt income earned-Held to be proper. [R.8D]