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The Tax Publishers Paresh Pritamlal Mehta v. ITO [ITA No. 1715/PN/2015, dt. 18-3-2016] : 2016 TaxPub(DT) 1897 (Pune-Trib) Disallowance under section 14A unwarranted if shares are held as stock in trade *Facts:* Assessee was trader in securities, received dividend income. Assessing Officer/Commissioner (Appeals) subjected disallowance under section 14A. On appeal: Held that no disallowance is warranted under section 14A in case of shares held as stock in trade. It was found on facts that there was no investment portfolio held by the assessee. The decision of HDFC bank case of Mumbai ITAT relied by Commissioner (Appeals) itself was reversed in Writ Petition No. 1753 of 2016 title HDFC Bank Ltd. v. DCIT decided on 25-02-2016 by the Mumbai high court.

The Tax Publishers

Paresh Pritamlal Mehta v. ITO [ITA No. 1715/PN/2015, dt. 18-3-2016] : 2016 TaxPub(DT) 1897 (Pune-Trib)

Disallowance under section 14A unwarranted if shares are held as stock in trade

Facts:

Assessee was trader in securities, received dividend income. Assessing Officer/Commissioner (Appeals) subjected disallowance under section 14A. On appeal:

Held that no disallowance is warranted under section 14A in case of shares held as stock in trade.

It was found on facts that there was no investment portfolio held by the assessee. The decision of HDFC bank case of Mumbai ITAT relied by Commissioner (Appeals) itself was reversed in Writ Petition No. 1753 of 2016 title HDFC Bank Ltd. v. DCIT decided on 25-02-2016 by the Mumbai high court.