Notification

Please refer to the RTP
of may 2017 (IPCC).



Method for determining the amount of expenditure in relation to income which does
not form part of the total income under Rule 8D [Notification No 43/2016, dated 02-
06-2016]

, vide this notification, the Central Government has substituted sub-rule (2) and
omitted sub-rule (3) of the said Rule 8D. New sub-rule (2) provides that the expenditure in
relation to income which does not form part of the total income shall be the aggregate of
following amounts:
(i) the amount of expenditure directly relating to income which does not form part of total
income; and
(ii) an amount equal to 1% of the annual average of the monthly averages of the opening
and closing balances of the value of investment, income from which does not or shall
not form part of total income:
However, the amount referred to in clause (i) and clause (ii) shall not exceed the total
expenditure claimed by the assessee.

Please check to the word 'aggregate'. I think it is a mistake and should be substituted by 'lower of the below'.

What do you think?