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2020 (9) TMI 273 - AT - Income TaxRevision u/s 263 by PCIT - as observed AO failed to made independent inquiries with regard to the genuineness of the agricultural income, sundry creditors and mismatching in sales turn over - HELD THAT:- PCIT had asked the assessee about the genuineness/validity of various claims to which the assessee had given a detailed reply. Once a point wise reply was given by the assessee, then a duty was cast upon the Ld. PCIT to examine the reply of the assessee and form a prima-facie opinion as to whether the order of the AO was erroneous so far as it was prejudicial to the interest of Revenue. Perusal of the impugned order of the Ld. PCIT reveals that the Ld. PCIT without considering the submission of the assessee and even without giving any prima-facie findings that explanation given by the assessee was not correct or that the same was not reliable, proceeded to hold that the order of the Assessing Officer was erroneous and prejudicial to the interest of Revenue because of the inadequate inquires. Action of the Ld. PCIT without considering the explanation given by the assessee and without pointing out as to what other enquires were required to be made by the Assessing Officer in the facts and circumstances of the case, has set aside the order of the Assessing Officer and remanded the matter back to the file of the Assessing Officer for passing of the assessment order afresh. The above action of the Ld. PCIT cannot be held to be justified. Merely because the Assessing Officer has not discussed about the enquires made by him in detail in the assessment order is no ground to hold that the order of the Assessing Officer is erroneous and prejudicial to the interest of Revenue. PCIT in this case wrongly exercised revision jurisdiction u/s. 263 - Decided in favour of assessee.
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