Revision u/s 263 could be invoked if Order was erroneous and prejudicial to interest of Revenue

Advertisement Vishal Balvantrai Agarwal Vs PCIT (ITAT Ahmedabad) Conclusion: AO conducted a detailed inquiry based on the information provided by assessee, satisfying the condition that AO had exercised due diligence within the scope of the limited scrutiny. The mere disagreement with the AO’s view did not make it erroneous, nor had any tangible prejudice to the Revenue been established. The conditions required to invoke Section 263, namely, the order being erroneous and prejudicial to the interest of the Revenue, were not satisfied in this case. Held: Assessee, was a partner in four firm...