The Assessing Officer\u00a0 disallowed the expenses under section n 14A of the Act. Commissioner (Appeals) held\u00a0 that assessee had made major portion of investments only in subsidiary companies, associates concerns and partnership firms in which assessee was a partner, thus, investments made by company were in form of strategic investments and he restricted disallowance at 5 per cent of fixed\/semi variable aggregate of expenditure.\u00a0 Tribunal upheld the order of the CIT(A). On appeal by the Revenue\u00a0\u00a0\u00a0 following the judgement in Maxopp Investment Ltd. v. CIT [2018) 254 Taxman325\/402 ITR 640 (SC), the order of Tribunal was\u00a0 quashed and set aside and the\u00a0 Assessing Officer was\u00a0 directed to pass an order in accordance with law and formula laid down by the Apex court referred above.\u00a0 (AY. 2010-11)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 14A : Disallowance of expenditure-Exempt income-Strategic investments-Subsidarry companies, associate concerns and partnership firms-Restricted 5% of aggregate of expenditure-Order of Tribunal was quashed and set aside-a Assessing Officer was directed to pass an order in accordance with law and formula laid down in Maxopp Investment Ltd. v. CIT [2018] 254 Taxman325 \/ 402 ITR 640 (SC). [R. 8D, 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-38476","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-a0A","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38476","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=38476"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38476\/revisions"}],"predecessor-version":[{"id":38477,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/38476\/revisions\/38477"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=38476"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=38476"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=38476"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}