Exercise of S. 263 on expenses claim withdrawn by Assessee valid: SC

Hon’ble SC held that Making a claim which would prima facie disclose that the expenses in respect of which deduction has been claimed has been incurred and thereafter abandoning/withdrawing the same gives rise to the necessity of further enquiry in the interest of the Revenue. The notice issued under Section 69-C of the Act could not have been simply dropped on the ground that the claim has been withdrawn. We, therefore, are of the opinion that the learned C.I.T. was perfectly justified and in passing the impugned order on that basis. The learned Tribunal as well as the High Court, there...