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2023 (7) TMI 468 - AT - Income TaxRevision u/s 263 by CIT - cash deposit made during the demonetization period - PCIT directed the ld. AO to issue notice u/s 133(6) to the various donors and re-examine the veracity of the gifts received by the assessee and this direction was given by the ld. PCIT before the completion of revision proceedings u/s 263 and AO accordingly issued notices u/s 133(6) to the donors and all the donors duly replied directly before the ld. AO in response to notice u/s 133(6) confirming the fact of giving gifts to the assessee by explaining their sources - HELD THAT:- We hold that the ld.AO in the original assessment proceedings itself had made adequate enquiries with regard to the cash gifts received by the assessee and that the ld. AO had again examined the veracity of the gifts at the behest of ld. PCIT during revision proceedings u/s 263 of the Act, by issuing notices u/s 133(6) of the Act, which stood directly complied with by the donors and no adverse inferences were drawn by the ld. AO on the documents furnished by the donors. Hence the AO had taken the only plausible and correct view on the issue of receipt of cash gifts by the assessee. Once a plausible view has been taken by the ld. AO, the same cannot be subjected to revision u/s 263 of the Act. The law is very well settled on this issue by the decisions of Malabar Industrial Co Ltd [2000 (2) TMI 10 - SUPREME COURT] and Max India Ltd [2007 (11) TMI 12 - SUPREME COURT] - Hence we hold that the ld. PCIT had grossly erred in invoking revision jurisdiction u/s 263 - Decided in favour of assessee.
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