Dasrathsinh Ghanshyamsinh Chudasama Vs PCIT (ITAT Ahmedabad)
In the case of Dasrathsinh Ghanshyamsinh Chudasama vs. PCIT, the ITAT Ahmedabad quashed the revision order issued by the Principal Commissioner of Income Tax (PCIT) for the assessment year 2015-16. The PCIT had invoked Section 263 of the Income Tax Act, arguing that the Assessing Officer (AO) had incorrectly calculated the tax under Section 115BBE during the assessment, which resulted in an erroneous and prejudicial assessment order. The ITAT, however, ruled that any mistake in tax calculation under Section 115BBE should have been rectified under Section 154 and not through revision under Section 263. The tribunal noted that the additions made by the AO were consistent with the Income Tax Statute, and the error in tax calculation did not warrant the use of Section 263. The ITAT also considered the delay in filing the appeal, attributing it to the COVID-19 pandemic, and subsequently condoned it. Concluding that the PCIT’s invocation of Section 263 was unjustified, the ITAT allowed the assessee’s appeal, reinforcing that such errors should be corrected through rectification rather than revision.
FULL TEXT OF THE ORDER OF ITAT AHMEDABAD
This appeal is filed by the Assessee against order dated 30.04.2020 passed by the PCIT-6, Ahmedabad for the Assessment Year 2015-16.
