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2021 (2) TMI 738 - AT - Income TaxRevision u/s 263 - Disallowance u/s 14A - HELD THAT:- No doubt that the Ld. A.O has raised specific query with regard to huge interest expenditure as to whether they were allowable as business expenditure and secondly issue of disallowance u/s 14A of the Act and to these specific queries detailed replies were filed by the assessee which are stated above and duly considered by Ld. A.O and he after discussing the issue in detail in the assessment order has confirmed the disallowance u/s 14A of the Act. It thus shows that the present case is neither of “no enquiry” or “incomplete” enquiry at the end of the Ld. A.O nor the order u/s 143(3) of the Act can be said to be erroneous so far as prejudicial to the interest of revenue as the Ld. A.O has taken one of the possible views provided under the law and the application of mind by the Ld. A.O is clearly discernable from records as well as the assessment order. There was no room left for Ld. PCIT to have assumed his jurisdiction u/s 263 of the Act on the issues raised in the show cause notice. We accordingly quash the impugned order passed u/s 263 of the Act and restore the assessment order u/s 143(3) of the Act dated 28.8.2016. The sole ground raised by the assessee is allowed.
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