Late Shri Sucha Singh Vs PCIT (ITAT Amritsar)
Sec 263 Revision Quashed – Reopening Without Tangible Material Invalid & PCIT Failed to Conduct Independent Enquiry – ITAT Amritsar
The assessee challenged revisionary order u/s 263 relating to reassessment framed on alleged investment in immovable property of ₹76.50 lakh. ITAT noted that reopening itself was initiated merely on AIR information without any supporting purchase deed or tangible material in possession of the AO at the time of recording reasons, rendering reassessment proceedings legally unsustainable.
The Tribunal further held that PCIT invoked revision without conducting independent enquiry or recording clear findings as to how the assessment order was erroneous and prejudicial to revenue. Relying on decisions such as Delhi Airport Metro Express and DG Housing Projects Ltd., ITAT observed that revision cannot be exercised merely to direct further enquiry when the AO has already taken a permissible view.
Accordingly, the revisionary order u/s 263 was set aside and the original assessment order restored. Appeal allowed.
FULL TEXT OF THE ORDER OF ITAT AMRITSAR
By way of this appeal, the assessee assails invocation of revisionary jurisdiction u/s 263 by Ld. Pr. Commissioner of Income Tax, Jalandhar-1 (Pr. CIT) for the Assessment Year (AY) 2011-12 vide impugned order dated 23-03-2021 proposing revision of an assessment as framed by Ld. Assessing Officer [AO] u/s.143(3) r.w.s. 147 of the Act on 25-12-2018.
