Actual expenditure made in receiving the dividend is to be deducted for the purpose of calculating the deduction under s 80M and not a notional one based on average calculation, as held by KolHC in Faridabad Investment Company Ltd v CIT — In favour of: The assessee; ITA No 60 of 2004.
Rectification — Deduction under s 80M — Question as to whether any expenditure was incurred for the earning of dividend income and, if so, the quantum thereof could not be gone into and decided in the proceedings under s 154 as it requires a complicated process of investigation.
The rectification of an order does not mean the obliteration of the order originally passed and its substitution by a new order.
An error which has to be established by a long-drawn process of reasoning on points where there may conceivably be two opinions can hardly be said to be an error apparent on the face of the record.
No comments:
Post a Comment