Case Law Details
Nova Properties Private Limited Vs PCIT (ITAT Ahmedabad)
ITAT Ahmedabad held that initiation of revisionary proceedings by issuing show cause notice u/s 263 of the Income Tax Act without Document Identification Number (DIN) makes the entire proceedings invalid-in-law.
Facts- The assessee is Private Limited Company engaged in Real Estate Business and Development of Commercial Project called “Titanium-1”. The Return of Income of the assessee was taken up for scrutiny assessment. Post issuance of notice and considering the submissions of the assessee, AO accepted the income returned by the assessee by passing regular assessment order u/s. 143(3) of the Act.
Subsequently, PCIT found the assessment order to be erroneous in so far as it is prejudicial to the interest of Revenue on the wrong disallowance u/s. 14A and consequently normal provision of Income Tax could be applicable and not that of MAT. Therefore a show cause notice dated 02.03.2022.
The assessee vide its detail reply submitted its objection on the Revision proceedings. After considering the same, Ld. PCIT set aside the assessment with a direction to AO to re-compute the disallowance u/s. 14A r.w. Rule 8D after giving opportunity to the assessee. Being aggrieved, the present appeal is filed.
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