TMI Blog2016 (6) TMI 1219X X X X Extracts X X X X X X X X Extracts X X X X ..... t enquiry on the issues raised by him in the notice issued under section 263 was not conducted by the assessee. He even did not point out as to how the enquiry made by the Assessing Officer was not sufficient and proper and even failed to point out as to what further enquiry the Assessing Officer was expected to do on the relevant issues. Thus we set aside the impugned order passed by the ld. CIT under section 263 and restore that the Assessing Officer passed under section 143(3). See Leisure Wear Exports Limited case [2010 (9) TMI 351 - DELHI HIGH COURT ] - Decided in favour of assessee. - I.T.A. No. 1283/KOL./2013 - - - Dated:- 15-6-2016 - Shri P.M. Jagtap, Accountant Member and Shri S.S. Viswanethra Ravi, Judicial Member Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... depreciation of ₹ 3,69,31,973/- was allowed to be set off with the total income of ₹ 95,30,373/- and thus the total income arrived at nil, whereas in the previous assessment year of 2007-08, the whole unabsorbed depredation of ₹ 2,82,37,847/- was set off with the business income and tax was levied U/s.115JB. Accordingly, there was no unabsorbed depreciation existed for setting off in the current assessment of A. Y. 2008-09, thereby resulted in underassessment of income of ₹ 95,30,373/-. It has been further observed that additional depreciation of ₹ 1,54,79,188/- was claimed by the assesse and the same was allowed in the assessment. The assessee's nature of business was Trading Manufacturing of Sponge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the Assessing Officer had not made sufficient enquiry on the issues pointed out by him in the notice issued under section 263 and such lack of proper and sufficient enquiry rendered the assessment order passed under section 143(3) erroneous as well as prejudicial to the interest of the revenue. He, therefore, set aside the order of the Assessing Officer on the issues mentioned in the 263 notice with a direction to the Assessing Officer to make the assessment afresh on the said issues after making further investigation and enquiry as required in the facts and circumstances of the case. Aggrieved by the order of the ld. CIT passed under section 263, the assessee has preferred this appeal before the Tribunal. 4. The ld. counsel for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y the ld. CIT under section 263. He submitted that the errors in the order of the Assessing Officer were clearly and specifically pointed out in the notice under section 263 and since the order of the Assessing Officer as a result of such errors was prejudicial to the interest of the revenue, the ld CIT was fully justified in revising the same by exercising the powers conferred upon him to section 263. 6. We have considered the rival submissions and perused the relevant material available on record. It is observed that a submission in writing was filed by the assessee in reply to the notice issued by the ld. CIT under section 263 offering its explanation in respect of errors allegedly pointed out by the ld. CIT in the order passed by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ces of the said case, which are similar to the facts of the present case, the Hon ble Delhi High Court upheld the order of the Tribunal setting aside the order of the ld. CIT passed under section 263 observing that the ld. Commissioner had not taken the order to its logically conclusion, which was his prime duty in order to justify exercise of power under section 263. In our opinion, the ratio of this decision of the Hon ble Delhi High Court in the case of Leisure Wear Exports Limited (supra) is squarely applicable to the facts involved in the present case and respectfully following the same, we set aside the impugned order passed by the ld. CIT under section 263 and restore that the Assessing Officer passed under section 143(3). 7. In t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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