Section 263 Revision Not Valid When AO Allows 32AC Deduction after enquiry

Apollo Tyres Ltd. Vs PCIT (Kerala High Court) In the case of Apollo Tyres Ltd. vs Principal Commissioner of Income Tax, the Kerala High Court examined whether the revisional powers under Section 263 of the Income Tax Act, 1961, could be invoked when the Assessing Officer (AO) had allowed a deduction under Section 32AC after conducting proper inquiry. The assessee, Apollo Tyres Ltd., claimed deduction under Section 32AC for the assessment year 2014–15 concerning new assets acquired and installed during the financial year 2013–14. During the assessment proceedings, the AO raised queries abou...