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2022 (10) TMI 1089 - AT - Income TaxRevision u/s 263 by CIT - Unexplained source of cash deposits - HELD THAT:- The entire documents furnished by the assessee in this regard before the AO as well in response to the show cause notice issued by the Ld. PCIT indicate that the claim of the assessee regarding the source of bank deposits is correct. The query letter issued by the AO indicates that the AO had duly applied his mind to the issue before him and further the assessee also had duly responded to the query raised by the AO in this regard and only thereafter the AO had accepted the return of income of the assessee. Therefore it is our considered view, that there is no lack of inquiry on the part of the Assessing officer warranting invocation of revisionary proceedings by the Ld. PCIT. We would like to place reliance on the judgement in the case of Sunbeam Auto Ltd. [2009 (9) TMI 633 - DELHI HIGH COURT] wherein as held that if there was any inquiry, even inadequate, that would not by itself give the powers to the Commissioner to pass order u/s 263 of the Act, merely because the Commissioner has a different opinion in the matter and that it is only in those cases where there was no enquiry, that the powers u/s 263 of the Act can be exercised. PCIT cannot pass an order u/s 263 of the Act merely on the ground that further or thorough enquiry should have been made by the AO - We also note that in the case of Malabar Industries Co. Ltd. [2000 (2) TMI 10 - SUPREME COURT] has held that if the Assessing officer adopts one of the possible courses permissible in law and it has resulted in loss of revenue, or where two views are possible and the AO adopts one view with which the Commissioner does not agree, it would not be an order prejudicial to the interests of the Revenue for the purpose of invoking the revisionary powers u/s 263 - Therefore, we are of the considered opinion, that the impugned order was definitely outside the purview of section 263 of the Act and, we hold the impugned order to be bad in law and quash the same. Appeal of the assessee stands allowed.
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