Rule 8D applicable from AY 2008-2009, however direct / indirect expenses to earn exempt Income has to be disallowed U/s. 14A

ORDER SANJIV KHANNA,J: (ORAL) This appeal under Section 260A of the Income Tax Act, 1961 is directed against the order of the Income Tax Appellate Tribunal dated 16.12.2010 in the case of M/s. Galileo India Pvt. Ltd. and relates to assessment year 2005-06. By the impugned order the Tribunal has quashed the order passed by the Commissioner of Income Tax, Delhi under Section 263 of the Income Tax Act. 2. After hearing counsel for the parties the following substantial question of law is framed:- “Whether the Income Tax Appellate Tribunal was right in law in quashing the order under Section 263 ...