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2020 (1) TMI 780 - AT - Income TaxRectification u/s 154 - disallowing / adding cost of construction - HELD THAT:- We notice in this backdrop of pleadings that the learned lower authorities’ action invoking sec. 154 proceedings is not liable to be concurred with. We reiterate that the Assessing Officer has himself treated the assessee’s case as involving under assessment and not rectification as indicated in preceding paragraphs. Hon'ble jurisdictional high court’s decision in Commissioner of Income Tax, Kolkata-IV vs. M/s J.L. Morison India Ltd. [2018 (6) TMI 1683 - CALCUTTA HIGH COURT] holds that such rectification proceedings do not involve a long drawn process of arguments or reasoning but an error apparent from records. There is no such reason in the Assessing Officer’s said show cause notice. We therefore draw strong support from their lordships decision and reverse both the lower authorities’ action invoking sec. 154 rectification jurisdiction for the purpose of partly disallowing the assessee’s cost of construction.
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