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2022 (2) TMI 385 - AT - Income TaxRevision u/s 263 by CIT - disallowance of huge interest expenses - assessment of the assessee was reopened for limited scrutiny as Large increase of unsecured loans during the year and High interest expenses as compared to business turnover - HELD THAT:- The copy of the assessment order u/s. 143(3) of the Act is on the file in which the interest issue has been examined - The assessee upon the query of AO has also submitted the reply by virtue of letter dated 16.06.2017 and letter dated 30.05.2017 - The assessee also submitted the relevant record before the AO which was examined by AO as requested. Thereafter, the AO disallowed the interest to the tune of ₹ 7,92,27,335/- Once the AO has examined the issue and one possible view has already been taken, therefore, the assessment u/s. 263 of the Act is not liable to be reviewed in view of the decision of CIT Vs. Ballarpur Industries Ltd.[2017 (8) TMI 538 - BOMBAY HIGH COURT], Grasim Industries Ltd. [2010 (2) TMI 4 - BOMBAY HIGH COURT], CIT Vs. Kelvinator of India Ltd. [2011 (1) TMI 27 - DELHI HIGH COURT] & CIT Vs. Mepco Industries Ltd.[2006 (11) TMI 164 - MADRAS HIGH COURT]. If it is assumed that the inquiry was not correct or conducted properly, therefore, the revisional power u/s. 263 of the Act is not liable to be invoked in view of the decision of MOIL Ltd.[2017 (5) TMI 258 - BOMBAY HIGH COURT], CIT Vs. Development Credit Bank Ltd. [2010 (2) TMI 161 - BOMBAY HIGH COURT], CIT Vs. Vikas Polymers [2010 (8) TMI 745 - DELHI HIGH COURT]. Taking into account of all the facts and circumstances, we set aside the order passed by PCIT in question and allowed the appeal of the assessee.
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