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2018 (4) TMI 319 - AT - Income TaxRevision u/s 263 - AO should have examined valuation of work in progress of the assessee in a particular manner to include part of the indirect expenditure, which are attributable to the particular projects - lack of inquiry or inadequate inquiry - Held that:- The assessee has only stated that in assessment year 2009 – 10 the issue is pending before the coordinate bench where the issue involved is the valuation of the closing stock of work in progress. Even that does not show that the assessing officer has applied is mind on to determine the cost of the work in progress according to the earlier history of the case of the assessee. Therefore, according to us there is no Inquiry made by the Ld. assessing officer about the valuation of the closing stock of work in progress. Therefore, according to us the case of the assessee falls under the category of lack of Inquiry and not even the case of inadequate Inquiry. In the present case the AO has not examined the valuation of the work in progress with respect to the components of the value of the stock, according to us that enquiry has not been made by the Ld. assessing officer which are diligent assessing officer should have made more specifically when the identical issue is litigated by the revenue. In view of this we do not find any infirmity in the order of the Ld. CIT in assuming jurisdiction under section 263 of the income tax act and holding that the order passed by the Ld. assessing officer is erroneous and prejudicial to the interest of the revenue. Accordingly, both the grounds of appeal filed by the assessee are dismissed.
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