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Datamatics Global Services Ltd. v/s. Deputy Commissioner of Income Tax

Case No: ITA No.5945/MUM/2025
Court: Income-Tax Appellate Tribunal “D” Bench, Mumbai
Date: 1/19/2026

Parties Involved

appellantDatamatics Global Services Ltd.
respondentDeputy Commissioner of Income Tax

Facts Summary

The case pertains to the disallowance made by the Assessing Officer (AO) under section 14A of the Income-tax Act, 1961. The AO disallowed an amount of Rs 38,12,211/- under section 14A, which was contested by the assessee before the Commissioner of Income-tax (Appeals)/National Faceless Appeal Centre, Delhi (CIT(A)). The assessee argued that the disallowance should have been Rs 5,91,103/- as per their calculation under Rule 8D of the Income-tax Rules, 1962. The CIT(A) directed the AO to recalcula

Decision in favour of

Assessee

Legal Issues

  • 1. Erroneous consideration of expenses attributable towards earning exempt income
  • 2. Non quantification of expenses attributable to the earning of exempt income

2 more legal issues analysed in this judgement.

Precedents Relied Upon

3 precedents cited in this judgement.

Judgment Outcome

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Version 2.0.1Last updated: October 2025
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