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2019 (12) TMI 1338 - AT - Income TaxRevision u/s 263 - assessment framed under section 143(3) of the Act as erroneous insofar prejudicial to the interest of revenue - Exemption u/s 11 denied - HELD THAT:- Admittedly, the assessment order framed under section 143(3) of the Act dated 16 March 2015 has been set aside to the file of the AO for re-adjudication as per the provisions of law as submitted by the learned AR for the assessee As held Tribunal has committed a grave error in holding the activities of the assessee in the nature of trade, commerce or business and consequently holding that the proviso to section 2(15) of the Act shall be applicable and therefore, the assessee is not entitled to exemption under section 11 - proviso to section 2(15) of the Act shall not be applicable so far as the assessee-AUDA is concerned and as the activities of the assessee can be said to be providing general public utility services, the assessee is entitle to exemption under section 11 of the Act. Both the questions are therefore, answered in favour of the assessee and against the Revenue. Impugned order passed by the Tribunal in respective appeals for differ assessment year are hereby quashed and set aside. Accordingly, all these appeals are allowed and answered both the questions in favour of assessee and against the Revenue. The issue involved in the order of learned CIT under section 263 of the Act is dependent on the assessment order to be framed by the AO in accordance to the direction provided by the ITAT as discussed above. Therefore, we hold that the impugned order under section 263 of the Act does not require any separate adjudication at this stage. Accordingly, we conclude that the order framed under section 263 of the Act is infructuous.
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