No expenditure against exempt income to be disallowed in absence of exempt income

GVK Power & Infrastructure Ltd. Vs  ACIT (ITAT Visakhapatnam) Conclusion: Where there was no dividend income earned during the relevant assessment year, there was no case for disallowing the expenditure relatable to dividend income. Held: Assessee after filing the original return of income, found that there was no case for making disallowance under section 14A in the absence of dividend income, hence, withdrawn the disallowance made by assessee and filed revised return of income within the due date. AO however rejected the revised return of income. It was held AO did not make out a case ...