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2015 (1) TMI 866 - AT - Income TaxRevision u/s 263 - Disallowance of interest under section 14A read with Rule 8D of the IT Rules and provision against development expenses - Held that:- The Assessing Officer has accepted the claim of assessee on raising a proper query and documents/details produced before him on which the proposed proceedings under section 263 have been initiated. The similar claims have been accepted in earlier years by the Assessing Officer. Therefore, when the Assessing Officer adopted one of the courses admissible in law, the view taken by the Assessing Officer was held not to be unsustainable in law. The ld. CIT should not substitute the opinion of the Assessing Officer on the same facts in proceedings under section 263 of the Act. It would, therefore not give revisional jurisdiction to the ld. CIT to set aside the assessment order in question. In view of the above discussion, we are satisfied that Assessing Officer has properly enquired into the claim of assessee on all above items at the assessment stage and has carried out proper verification. Therefore, ld. CIT was not justified in invoking jurisdiction under section 263 of the Act. The decisions cited by ld. DR would not, thus support the case of the revenue. In view of the above discussion, we set aside the impugned order under section 263 of the Act because the assessment order dated 29.12.2009 could not be said to be erroneous in so far as prejudicial to the interests of the revenue and quash the same. - Decided in favour of assessee.
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