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2018 (11) TMI 381 - AT - Income TaxRevision u/s 263 - AO had ignored that out of the three items i.e. land, building and plant and machinery, capital gain on land could either be short term or long term, depending on the period of holding, as it was not a depreciable asset, whereas building and plant and machinery being depreciable items had to be taxed under ‘short term capital gains’ - C.I.T. was also of the view that the stamp duty value of the property was to be deemed as full value of the consideration for the purpose of section 48 r/w section 50C of the Act - "lack of inquiry" OR "inadequate inquiry" Held that:- A perusal of the original assessment order shows that the issue of capital gains was duly considered by the Assessing Officer and he proceeded to compute the short term capital gain at ₹ 22,86,227/- whereas it was the assessee’s claim during the course of assessment proceedings that no capital gains had been earned. Thus, it is not the case of the department that no information regarding the impugned transaction was called for by the Assessing Officer or that the transaction was not enquired into by the Assessing Officer. It is very much evident that relevant details in this regard were submitted by the assessee during the course of assessment proceedings and the same form part of the record. Therefore, no inference can be drawn that the Assessing Officer has not examined the issue although he may not have expressed it in as many terms as may be considered appropriate by his superior authority and even if the inquiry was inadequate, the same cannot be a ground for revision. It is settled law that an order cannot be termed as erroneous unless it is not in accordance with law. Section 263 does not visualise the substitution of judgment of the Ld. C.I.T. for that of the Assessing Officer. Assessing Officer’s order cannot be held to be erroneous and prejudicial to the interest of the revenue within the meaning of section 263 - Decided in favour of assessee
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