Tag: erroneous and prejudicial

PCIT cannot invoke the revisionary jurisdiction u/s 263 of the Income Tax Act upon a proposal from the Assessing Officer – ITAT In a recent judgment, ITAT Kolkata has held that PCIT cannot invoke the revisionary jurisdiction u/s 263 of the Income Tax Act, 1961 upon a proposal …

ITAT quashed order u/s 263 enhancing disallowance observing in appellate proceedings, CIT(A) has power of enhancements of income assessed, if desired. In a recent judgment, ITAT Delhi has quashed order u/s 263 observing that PCIT had ignored the fact that assessee had filed an appeal against the addition …

Section under which penalty should be initiated cannot be subject matter of revisionary jurisdiction under section 263 of Income Tax Act – ITAT In a recent judgment, ITAT Surat has held that the section under which AO should initiate penalty cannot be determined under revisionary jurisdiction under section …

Net profit rate may not per se experience variation commensurate to the increase of turnover. In a recent judgment, Allahabad High Court has held that net profit rate may not per se experience variation commensurate to the increase of turnover. No principle in law is available to necessarily …

CSR expenditure of companies is allowable under section 80G unless fall under the two exceptions specified. In a recent judgment, ITAT Ahmedabad has held that CSR expenditure of companies is allowable under section 80G as intention of the Legislature was clear when the same was clarified by the …

In the absence of enquiry on discrepancy in turnover between tax audit report vis-à-vis turnover disclosed in P&L account, order of AO was erroneous and prejudicial to the interest of the revenue. In a Recent judgment, ITAT Surat has held in view of discrepancy in the figure of …

Merely because the decision of the High Court followed by Ao was sub-judice before the Supreme Court it would not make the assessment order erroneous. In a recent case, the ITAT Mumbai has held that merely because the decision of the High Court was sub-judice before the Hon’ble …

ITAT quashed revision order u/s 263 passed without providing information to assessee and not considering submissions & evidences furnished. In a recent judgment, ITAT Raipur has quashed the revision order passed u/s 263 holding that the PCIT grossly erred in not providing the information or documents used against …

In case of superficial enquiry by AO PCIT may be justified in invocation of revisionary powers u/s 263 but not before making some enquiries – ITAT In A Recent judgment, ITAT Lucknow has held that in absence of findings of Assessing Officer (AO), PCIT may be justified in …

Revision order u/s 263 by PCIT without specifying what information AO had not called – SC declines to interfere with quashing. In a recent case, the Hon’ble Supreme Court declined to interfere with quashing of revision order under section 263 as PCIT did not give any specific finding …