Topic

Minimum Alternate Tax

2 articlesLatest May 2026
Section 14A IT Act | No Disallowance Under Rule 8D If Own Funds Exceed Investments: ITAT Delhi Sets Precedent for Banking & Finance Sector
Case Law Analysis
|Income Tax Appellate Tribunal

Section 14A IT Act | No Disallowance Under Rule 8D If Own Funds Exceed Investments: ITAT Delhi Sets Precedent for Banking & Finance Sector

ITAT Delhi rules that if an assessee’s own funds surpass the value of dividend-yielding investments, disallowance under Section 14A read with Rule 8D is unwarranted-even without separate books of accounts. The ruling clarifies that the Assessing Officer must demonstrate nexus between borrowed funds and investments before invoking Rule 8D, offering relief to entities with surplus liquidity.

Section 115JB MAT | CSR Expenses Non-Adjustable in Book Profit; Section 14A Disallowance Inapplicable Under MAT Regime : ITAT Ahmedabad
Case Law Analysis
|Income Tax Appellate Tribunal

Section 115JB MAT | CSR Expenses Non-Adjustable in Book Profit; Section 14A Disallowance Inapplicable Under MAT Regime : ITAT Ahmedabad

ITAT Ahmedabad rules that Corporate Social Responsibility (CSR) expenses cannot be added back to 'book profit' for Minimum Alternate Tax (MAT) calculations under Section 115JB. The tribunal also clarifies that Section 14A disallowance for exempt income does not apply when tax liability is computed under MAT, offering relief to taxpayers facing revisionary proceedings.

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