The Revenue filed an appeal to the High Court against the order passed by the Tribunal on the issue of deletion of disallowance u\/s. 14A on the ground that the same was against the CBDT\u2019s Circular No. 5\/2014. The Revenue argued that the case would fall within the exceptions provided in clause 10(b) of the Circular No. 17\/2019 on low tax effect. The High Court held that the instant case did not fall within the said exception since the Tribunal has nowhere declared the Circular No. 5\/2014 as illegal or ultra vires and hence dismissed the appeal since the tax effect was much less than the prescribed limit.\u00a0 (AY. 2015-16)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 268A : Appeal \u2013 Application \u2013 Reference \u2013 Instructions -CBDT Circular – Low tax effect \u2013 Tribunal dismissed the appeal on disallowance u\/s. 14A. Since the Tribunal recorded findings only on the interpretation of the contents of the Circular No. 5\/2014 dealing with disallowance u\/s. 14A, the said findings cannot be regarded as the Tribunal declaring the CBDT Circular No. 5\/2014 either as illegal or ultra vires.[ S. 253, 260A ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-30627","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-7XZ","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30627","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=30627"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30627\/revisions"}],"predecessor-version":[{"id":30628,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30627\/revisions\/30628"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=30627"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=30627"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=30627"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}