Section 264: Remedy for Bona Fide Mistakes in Tax Assessments – Bombay HC

Bahar Infocons Pvt. Ltd. Vs PCIT (Bombay High Court) In Bahar Infocons Pvt. Ltd. vs. PCIT, the Bombay High Court dealt with the issue of double taxation on excess provisions for bonuses under Section 43B of the Income Tax Act. The petitioner, Bahar Infocons, had initially disallowed excess bonus provisions in its 2018-19 return but inadvertently failed to reduce this amount in subsequent years, leading to double taxation. Upon realizing the error after the time for filing a revised return under Section 139(5) had lapsed, the petitioner filed a revision application under Section 264 to claim th...