Delhi). The Division Bench
held as under:-
"41. Sub-section (2) of section 14A , as we have
seen, stipulates that the Assessing Officer shall ... computation of
deduction u/s 80M ?
Although the judgment is under section 80M , the
ratio would apply equally to section 14A of the Act.
Paragraphs
relation to earning of
dividend income exempt under section 10(33) , disallowable under
section 14A of the Act.
On behalf of the Revenue ... Section 14-A . Reading Section 14 in
juxtaposition with Sections 15 to 59, it is clear
that the words "expenditure incurred" in Section
application under
section 438 of the Cr.P.C before the High Court or should it be by an
appeal under section 14A ... application under Section 438 or Section
439 of the Cr.P.C had been impliedly taken away by Section 14A of
the said
relates to the provisions of Section 36(1) (iii) and
Section 14A which has been invoked in this case
which stands on a different footing ... assessee and the assessee qualifies for deduction
u/s 36(1)(iii). So, however, section 14A provides
that no deduction shall be allowed in respect
exempted income for, if there was, the provisions of Section 14A of the Act
would apply. Section 14A reads as under:-
"14-A. Expenditure ... supra) while considering Section 36(1)(iii) of the Act would
apply while considering the application of Section 14A of the
Act. The aforesaid decision
ITAT was right in holding
that the provisions of Section 14A as clarified by
1 of 10
::: Downloaded ... account of disallowance under
Section 36(1)(iii) of the Act;
(ii) ` 40,28,526/- disallowance under Section 14A
proceedings under Section 147 or Section 154
of the Act could be initiated for disallowance of the expenses under
Section 14A of the Act after ... Reading Section 14 in juxtaposition with Sections 15
to 59 , it is clear that the words "expenditure incurred" in
Section 14A refers
Reading
Section 14 in juxtaposition with Sections 15 to 59 , it is
clear that the words "expenditure incurred" in Section 14A ... shares which is exempt
under Sections 10(33) and 10(34) , respectively. In view of insertion of
Section 14A in the Act, any amount spent
assessments under section 14 of the Act and under no other section. So relief under sub-section (7) of section 14A ... provisions of sub-section (5) of section 18A of the Indian Income-tax Act, 1922. Sub-section (7) of section 14A of the first mentioned
deleting the disallowance of Rs.
3,48,04,375/- under Section 14A of the Income-tax Act,
1961 by ignoring the evidence relied ... said inquiry addition was made by way of disallowance
under Section 14A (3) , which was partly upheld by the CIT (A). The
Tribunal held that
