Section 14A disallowance cannot be added to section 115JB book profits: Delhi HC

PCIT Vs Bhushan Steel Ltd (Delhi High Court) The Delhi High Court considered two appeals filed by the Revenue under Section 260A of the Income-tax Act, 1961, challenging an order of the Income Tax Appellate Tribunal for AY 2008–09. The Revenue initially proposed six questions. One issue relating to synchronization charges under Section 80-IA was not pressed, as it had already been decided in favour of the Revenue. On another issue concerning an alleged payment of ₹8.40 lakh from undisclosed sources, the Court noted that the addition was based solely on a statement recorded under Section 13...