Disallowance of expense u/s 14A unsustainable as investment in shares were stock-in-trade

State Bank of India Vs ACIT (ITAT Chandigarh) ITAT Chandigarh held that disallowance of expenses u/s 14A read with Rule 8D is unwarranted on the premise that the investment in shares were stock-in-trade. Facts- The assessee has challenged the action of the Ld.CIT(A) in upholding disallowance of deduction claimed by the assessee u/s 36(1)(viii) of the Income Tax Act, 1961 amounting to Rs. 120 crores. The assessee bank had claimed deduction of Rs. 120 crores on account of a special reserve created for the impugned assessment year, under the provisions of section 36(1)(viii) of the Act. The same ...