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2020 (2) TMI 16 - AT - Income TaxRevision u/s 263 - as per CIT A.O had failed to make any enquiry as regards the entitlement of the assessee towards claim of depreciation on ‘goodwill’ as per the ‘Proviso 5’ of Sec. 32(1) - HELD THAT:- As the A.O in the course of the assessment proceedings had examined the assesees entitlement towards claim of depreciation on ‘goodwill’, and had only after necessary deliberations finding the same to be in order had accepted the same, therefore, the Pr.CIT in exercise of the powers vested with him under Sec. 263 of the Act, was divested of his jurisdiction for seeking dislodging of the aforesaid possible, or infact a balanced and a reasonable view taken by the A.O. Our aforesaid observation that a possible view arrived at by the A.O after necessary deliberations cannot be dislodged by the CIT/Pr.CIT in exercise of revisional jurisdiction under Sec. 263 is fortified by the judgments of the Hon’ble Supreme Court in the case of Malabar Industrial Company [2000 (2) TMI 10 - SUPREME COURT] nd CIT Vs. Max India Ltd [2007 (11) TMI 12 - SUPREME COURT]. Also, support his drawn from the judgments of the Hon’ble High Court of Bombay in the case of Grasim Industries Ltd. Vs. CIT [2010 (2) TMI 4 - BOMBAY HIGH COURT] and CIT Vs. Gabriel India Ltd [1993 (4) TMI 55 - BOMBAY HIGH COURT] . Accordingly, not being able to persuade ourselves to subscribe to the view taken by the Pr.CIT that the order passed by the A.O under Sec. 143(3), dated 23.12.2016 was erroneous insofar it was prejudicial to the interest of the revenue, we ‘set aside’ his order and restore the order passed by the A.O. - Decided in favour of assessee.
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