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Whether AO Can Disallow Interest And Depreciation U/s. 14A From Remuneration And Interest From The Firm?

QUERY: An assessee is in receipt of interest & Remuneration income from various partnership firms and claims interest & Depreciation as expenditure from such income. Can a disallowance u/s. 14A be made by AO?
ANSWER: Click here to read the full answer of the expert

If the assessee has borrowed the amount and invested in the firm, where from he receives, remuneration and share of profit, then, the Assessing Officer is justified in making disallowance u/s. 14A proportionately.

Posted in Income-tax