Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (4) TMI 1115 - AT - Income TaxRevision u/s 263 by CIT - claim of deductions under sections 80-IA and 80- IB - figure of losses in respect of MBF unit for the assessment years 2003-04 and 2004-05 was not ascertainable - separate books of accounts were not being maintained in respect of MBF unit and therefore, MBF unit was not eligible for deduction under section 80-IB - Arguments of the Assessee that revisionary order u/s 263 is barred by limitation - HELD THAT:- We find that the original assessment u/s 143(3) was completed on 31.12.2007. The reassessment u/s 148 has been completed on 04.03.2013. The order u/s 263 was passed on 27.03.2015. The order passed u/s 148 relates to deduction u/s 80IB of MBF unit and reduction of accumulated losses up to the Assessment Year 2004-05 while allowing the deduction u/s 80IB in 80IA which has been duly taken into consideration earlier during the original assessment proceedings. We find that the AO has prejudiced the accumulated losses of 8.83 crores and also considered the profit of MBF unit which has claimed 100% deduction u/s 80IB earlier. Thus, the issue of eligible of deduction u/s 80IA and 80IB in respect of various units of the assessee including MBF unit which is a subject matter of u/s 263 is not an issue before the AO during the reassessment proceedings The subject matter of the deduction in the reassessment order was the quantum of deduction but not the eligibility of the deduction and even in that case also the deduction pertaining to MBF unit but not other units whereas the revisionary proceedings dealt extensively with the eligibility of the deduction per se maintenance of separate books of accounts change of opinion by the CIT where the Ld. CIT and also the contrary reviews taken by the DRP for the successive assessment years allowing the deduction. The revisionary proceedings cannot go beyond the issue of the reassessment proceedings. In case, if any issue out of the original assessment is to be revised the limitation time for passing of such order would recon from 31.12.2007. Since the issues raised by the Ld. CIT in the order passed u/s 263 do not emanate from the assessment order dated from 04.03.2013, we hereby hold that the order of the Ld. CIT has not been held to be legally valid. Appeal of assessee allowed.
|