rule 8d sec 14A OF INCOMETAX ACT

Mr.Damle Sudhir The principal rules were published in Gazette of India vide notification no.SO 969(E, in part II of the Gazette dated 26.03.1962 and last amendment was made vide notification no.SO 493(E) dt. 13.03.2008. In view of the above the newly inserted rule 8D may be employed by the Assessing Officer for the assessment of earlier periods also. Any how I am not sure that I am correct. Experts please correct me if I am wrong. Best wishes Sathikonda

Dear Damle,

 Sec 14 A was inserted with retrospective effect from 1961..

But Rule 8 D was inserted with 24/03/2008...

I don't think Rule 8D can be applied for assesssment year 2007-08 or earlier years..

 

But one thing I m sure that AO cannot impose penalty u/s 271(1)(c) in the present case since the said Rule was not there..