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2023 (7) TMI 610 - AT - Income TaxRevision u/s 263 - palpable incorrect claim of set off of brought forward Long Germ Capital Loss against Short Term Capital Gain earned by the assessee during the year was not duly examined and verified during the assessment proceedings by AO - HELD THAT:- PCIT has recorded no infirmity in the contentions made by the assessee before him that there was no error in the assessment order in allowing set off of brought forward Long Germ Capital Loss against Short Term Capital Gain returned u/s 50 of the Act since it was accordance with law. For that matter even the Ld. DR was unable to contradict the contention of the assessee that its claim was in accordance with law as interpreted by the Hon’ble jurisdictional High Court. Assessee has placed before us copies of the decision of Aditya Sales [2013 (11) TMI 576 - GUJARAT HIGH COURT] and Polestar Industries [2013 (11) TMI 910 - GUJARAT HIGH COURT] relied upon by the assessee in support of its contention that its claim of set off of brought forward long term capital loss against short term capital gain returned u/s 50 was in accordance with law, which is completely agreable. This fiction created in the said section cannot be extended to deny benefit to which assets qualifying as long term are otherwise entitled on account of their said status. See V.S. Dempo Company Ltd. [2016 (10) TMI 62 - SUPREME COURT] Surely therefore there is complete absence of finding of any error by the Ld. PCIT in the order of the AO with respect to the issue involved.AO had allowed the claim taking a plausible view on the issue and in such circumstances there is no scope for invocation of revisionary powers u/s 263 - The Hon’ble apex court has laid down that where AO takes a plausible view there cannot be said to be any error in his order so as to invoke revisionary powers u/s 263 of the Act in the case of Kwality Steels [2017 (7) TMI 620 - SUPREME COURT] Decided in favour of assessee.
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