No Interest Disallowance When Own Funds Exceed Investments: ITAT Grants Major U/s 14A Relief

Triton Trading Company Private Limited Vs DCIT (ITAT Mumbai) No Interest Disallowance When Own Funds Exceed Investments: ITAT Grants Major 14A Relief The Mumbai ITAT held that no disallowance of interest expenditure under Rule 8D(2)(ii) can be made where the assessee possesses substantial interest-free own funds far exceeding its investments, and there is no evidence showing any nexus between borrowed funds and tax-free investments. Accordingly, the Tribunal directed deletion of the interest disallowance of ₹10.45 lakh made under Section 14A. The assessee, Triton Trading Company Pvt. Ltd., h...