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2022 (3) TMI 428 - AT - Income TaxRevision u/s 263 by CIT - PCIT invoked revisional jurisdiction to dislodge assessee's claim of payment of commission to M/s. Toshbro Controls Pvt. Ltd. on the ground that the Assessing Officer has failed to examine genuineness and reasonableness of large commission paid by the assessee - HELD THAT:- The assessee has been paying commission to M/s. Toshbro Controls Pvt. Ltd. since long. Initially the Revenue has been accepting payment of such commission, thereafter, in Assessment Year 2012-13 the Assessing Officer rejected assessee's claim which was subsequently allowed by the CIT(A) and the order of CIT(A) was upheld by the Tribunal. In the impugned assessment year the Assessing Officer has made enquiries with regard to payment of commission by the assessee as is evident from the documents furnished by the assessee in the Paper Book. It is not a case of lack of enquiry. We are of considered view that the twin mandatory conditions as set out in section 263 of the Act i.e. assessment order should be erroneous and prejudicial to the interest of Revenue are not concurrently satisfied in the instant case. Hence, the PCIT has erred in assuming revisional jurisdiction u/s. 263 of the Act. The impugned order is quashed and the appeal by assessee is allowed.
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