Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2019 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (3) TMI 1730 - AT - Income TaxRevision u/s 263 - Capital gain on sale of land - HELD THAT:- Non application of mind could have been considered as a valid ground for revision, if the assessee had returned any income other than the capital gains arising on the sale of land. Assessee having only one head of income, we cannot say that ld. Assessing Officer was oblivious of the computation of such income in a scrutiny assessment. It is specifically stated by the ld. Assessing Officer that he had examined the details filed by the assessee while completing the assessment accepting returned income. Thus though assessment order is cryptic, we cannot say that the AO had not applied his mind while accepting the income returned by the assessee. Assessee had also pointed out before ld. PCIT that the Audit Objection by itself could not be a reason to come to a concussion that order of the ld. Assessing Officer was erroneous and prejudicial to the interest of the Revenue. It is also not disputed that erstwhile share holders of M/s. ECCI Koya Ltd as it was known earlier had paid capital gains on the consideration received by them from sale of shares, after reckoning the revised value of the land in the hands of the assessee company. In such a situation, we cannot say that acceptance of the returned income by AO was based on an erroneous view of law. By virtue of the judgment of Hon’ble Apex Court in the case of Max India Ltd, [2007 (11) TMI 12 - SUPREME COURT] where two views are possible and the ld. Assessing Officer had taken one of such views, to which CIT did not agree, would not be a reason for treating the order of the Assessing Officer as one erroneous and prejudicial to the interest of the Revenue. We cannot say that the view taken by the ld. Assessing Officer in the case before us was unsustainable in law. The order of the ld. PCIT is set aside. - Decided in favour of assessee
|