2025 (5) TMI 1097 - SCH - Income Tax

Revision u/s 263 by CIT - unexplained cash credit u/s 68 - Tribunal set aside the order passed u/s 263 and remanded the matter back to the PCIT for a fresh decision - as decide by HC 2023 (4) TMI 66 - CALCUTTA HIGH COURT where any proceeding is initiated in the course of assessment proceedings having a relevant and material bearing on the assessment to be made and the result of such proceedings was not available with the ITO before the completion of the assessment but the result came subsequently the revising authority (PCIT) is entitled to look into the search material as it forms part of the assessment records of the particular assessment year. The finding rendered by Tribunal was perfectly justified as in our opinion the PCIT could not have ignored the order passed u/s 153A as being immaterial and irrelevant. Tribunal not stopping with that has also examined as to the exercise undertaken by the AO while completing the assessment u/s 153A and found that the entire records were examined and no adverse inference was drawn against the assessee. Tribunal rightly granted relief to the assessee and the order does not call for any interference. Substantial questions of law are answered against the revenue. HELD THAT - There is a gross delay of 646 days in filing the Special Leave Petition which has not been satisfactorily explained by the petitioner Revenue. Special Leave Petition is dismissed on the ground of delay.

Summary

The Supreme Court, through Justices J. B. Pardiwala and R. Mahadevan, dismissed the Special Leave Petition filed by the Revenue due to a "gross delay of 646 days" in filing, which was "not satisfactorily explained." Consequently, the petition was dismissed "on the ground of delay," and all pending applications were also disposed of.