Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2019 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (9) TMI 1651 - AT - Income TaxRevision u/s 263 by CIT - Re-assessment order to be set aside as the AO had failed to consider and examine the relevant clauses of the agreement between the M/s. A.R. Rahaman Foundation and M/s. LEBARA Ltd., which clearly establishes that the assessee had received the remuneration towards his professional services - whether or not the Principal Commissioner of Income Tax had justified in exercising the jurisdiction of revision u/s.263 of the IT Act? - HELD THAT:- Admittedly, this issue was examined by the AO during the course of the re-assessment proceedings and took a view that the contributions made by M/s. LEBARA Ltd., are not taxable in the hands of the assessee since the same were assessed to tax in the hands of M/s. A.R. Rahaman Foundation. It is a matter of record that even the Ministry of Home Affairs, Government of India, had accorded post facto approval in respect of this contribution. There is nothing on the record suggesting that it is taxable in the hands of the assessee. In these circumstances, we are of the considered opinion that the re-assessment order cannot be held to be erroneous and prejudicial to the interest of Revenue so as to enable the Ld. CIT(A) to exercise the power of revision u/s.263. Therefore, the Principal CIT was not justified in exercising the power of revision u/s.263. Appeal of assessee allowed.
|