PCIT Must Follow ITAT Special Bench Despite Pending Appeal: Bombay HC

Samir N. Bhojwani Vs PCIT (Bombay High Court) Revision u/s 264: PCIT Bound to Follow ITAT Special Bench; Deemed STCG u/s 50 Taxable at LTCG Rate u/s 112 The Bombay High Court held that while exercising revisionary jurisdiction under Section 264 of the Income-tax Act, the Principal Commissioner of Income Tax (PCIT) is bound to follow a jurisdictional ITAT Special Bench decision and cannot deny relief merely because the department has not accepted the ruling or has filed an appeal against it. The case arose from the PCIT’s refusal to apply the ITAT Special Bench ruling in SKF India Ltd. on tax...