Passing assessment order without examining non-allowable expenses makes assessment order erroneous

Brief of the case: The Hon’ble Kerala High Court in the case of M/s Asianet Satellite Communications Ltd. held that passing assessment order without examining expenses by Assessing Officer which ought not to allowed is a clear case of an assessment order erroneous in so far as prejudicial to the interests of revenue. Therefore, the initiation of revisionary proceedings u/s 263 by Commissioner is justified in law. Facts of the case: The original assessment u/s 143(3) was completed accepting the returned loss of Rs. 2,68,03,915/-. Subsequently, in exercise of power conferred by sec 263 ...