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2013 (9) TMI 40 - AT - Income TaxRevision u/s 263 - erroneous order - prejudicial to revenue - payment of commission and discount - Held that:- A bare perusal of the assessment order reveals that the Assessing Officer has considered and applied his mind to the issue of discount, while framing the assessment order, as is evident from the relevant part of the said assessment order. The Assessing Officer made warranted enquiry in the matter and obtained confirmation from M/s. United Ink & Varnish Co. P. Ltd., Mumbai on September 18, 2007 and considered the same while adjudicating the issue, restored to his file by the Tribunal. In a nutshell, the Assessing Officer had made due enquiry, verification independently and objectively applied his mind to the issue in question and framed the assessment. The Commissioner of Income-tax invoked the provisions of section 263, merely on the ground of expression, i.e., "directly paid" used by the hon'ble Tribunal, while restoring the matter to the file of the Assessing Officer. In our considered opinion, the issue in question had led to invocation of provisions of section 263 by the Commissioner of Income-tax has been duly considered and adjudicated by the Assessing Officer. There is no assumption of incorrect application of law by the Assessing Officer in the matter. The Assessing Officer had made requisite enquiry and applied his mind, before recording the findings in the said assessment order in the matter in question. Therefore, having regard to the legislative intent, contained in the provisions of section 263 of the Act and plethora of judicial verdicts in the matter, we are of the considered opinion that this is not a fit case for invocation of the provisions of section 263 of the Act. Therefore, the Commissioner of Income-tax acted beyond his jurisdiction, as contemplated under section 263 of the Act - Decided in favour of assessee.
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