TMI Blog2022 (9) TMI 151X X X X Extracts X X X X X X X X Extracts X X X X ..... ugh it was not part of the limited scrutiny issue, therefore, the order of the assessment is erroneous in so far as prejudicial to the interest of revenue. several judicial precedents cited before us also supports the case of the assessee. The reason given for rejection of this argument by the learned PCIT is also not palatable. It is held by him that as assessee has succumbed to the jurisdiction of the assessing officer and supplied certain information, the assessee loses his right to challenge the same later on. Based on the information mentioned in the revisionary order, the learned PCIT should have reprimanded the assessing officer by asking assessee to furnish the information, which were not within the scope of limited scrutiny. Ins ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g that the order passed by the Assistant Commissioner of Income Tax, Circle 14(3)(1), Mumbai (hereinafter referred to as the AO ) under section 143(3) dated 07.11.2019 is erroneous in so far as prejudicial to the interest of the revenue, is illegal and without jurisdiction. 3. That on the facts and circumstances of the case, the Hon'ble PCIT has erred in assuming jurisdiction under section 263 of the Act with respect to the issue of charging notional rent on house property under section 23 of the Act without appreciating the fact that such issue was not subject matter of limited scrutiny assessment under section 143(3) of the Act. 3.1 That the Hon'ble PCIT has erred in exercising revisionary powers under section 263 of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upied. 6. That the assumption of jurisdiction by the Hon'ble PCIT in the instant case being without satisfaction of pre-requisite twin conditions of the law, Le, Assessment Order being erroneous as well as prejudicial to the interest of revenue, and therefore the same is bad in law and consequently, the impugned order passed in pursuance thereto is liable to be quashed. 7. The appellant craves leave to add, amend, alter, remove, rescind, forgo or withdraw any of the above grounds of appeal which are without prejudice to one another before or at the time of hearing of the appeal in the interest of natural justice. 03. Facts of the case shows that assessee is an individual, director in TPG Capital private limited, earning i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd assessee submitted that it is taken as a holiday home which was used by him and his family members during vacation. The ld AO while finalizing the assessment order did not make any addition with respect to that. Therefore, notice u/s 263 of the act was issued on 3/3/22 to show cause that why the assessment order passed by the learned assessing officer should not be held to be erroneous as it did not add rental income in respect of the holiday home at Goa. 07. Assessee made detail submission on 8/3/22 stating that his case was selected for limited scrutiny for verifying limited aspect of his return of income. The chargeability of income from house property was not the subject matter of scope of the scrutiny; therefore, the provisions o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ethod. The argument of the learned authorised representative is that order of the learned assessing officer cannot be held to be erroneous so far as prejudicial to the interest of the revenue stating that the enquiries have not been made or addition has not been made by the learned assessing officer on the issues which are not part of the reasons for selection of case of the assessee Under the limited scrutiny mechanism. He submitted that instructions of CBDT also says that the assessing officer is duty-bound to look into only that information and nothing more. He submitted that the case of the assessee was never selected for complete scrutiny and that is not the case of the learned PCIT also. He submitted that in several judicial precedent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... officer, the learned PCIT could not have stated that addition with respect to the income from house property has not been charged by the learned AO, though it was not part of the limited scrutiny issue, therefore, the order of the assessment is erroneous in so far as prejudicial to the interest of revenue. several judicial precedents cited before us also supports the case of the assessee. The reason given for rejection of this argument by the learned PCIT is also not palatable. It is held by him that as assessee has succumbed to the jurisdiction of the assessing officer and supplied certain information, the assessee loses his right to challenge the same later on. Based on the information mentioned in the revisionary order, the learned PCIT ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
