Case Law Details
PCIT Vs Prince Water House (Calcutta High Court)
Order dated 23.03.2015 passed by the AO giving effect to the directions of the tribunal dated 04.03.2014 (passed u/s 254 r.w.s 143(3) of the Act) did not deal with the issue of allowability of premium on account of Accountants Risk Policy. The show cause notice u/s 263 of the Act purports to revise the order dated 27.02.2017 and subsequent order dated 13.04.2015 passed u/s 254 r.w.s143(3) of the Act and in these orders the AO did not deal with the premium paid on account of Accountants Risk Policy nor was it subject matter of those proceedings.
The CIT realizing that the issue of premium paid on Accountants Risk Policy which was allowed as deduction in order dated 31.12.2009 cannot be revised u/s 263 of the Act because of the time limit laid down u/s 263(2) of the Act, has in the garb of seeking to revise the order dated 23.03.2015 sought to question the allowability of premium paid on account of Accountants Risk Policy. This was clearly beyond the scope of the order dated 23.03.2015. In other words, the action u/s 263 of the Act in so far as the premium paid was barred by limitation as laid down u/s 263(2) of the Act. We therefore quash the order u/s 263 of the Act on the ground of limitation.
FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT
This appeal was admitted by this Court by an order dated 22nd January, 2019, on the following substantial questions of law :-
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