When Adjustment u/s 143(1) Is Deleted in Appeal, Assessment Based on Such Adjustment Cannot Survive: ITAT Bangalore

Taegu Tec India Private Limited Vs DCIT (ITAT Bangalore) The ITAT Bangalore held that where an addition made through intimation u/s 143(1) is subsequently deleted in appeal, the assessment order u/s 143(3) based on such adjusted income cannot be sustained, and the income must revert to the returned income. In this case, the assessee filed its return declaring income of ₹63.92 crore. However, the CPC while processing the return made an adjustment of ₹45.64 crore under Section 143(1) due to an alleged mismatch between the return and the tax audit report, resulting in a total income of ₹109...