Case Law Details
Tirath Dass Vs PCIT (ITAT Delhi)
ITAT Delhi held that invocation of revisionary power u/s. 263 of the Income Tax Act unsustainable as Assessing Officer duly carried out all the inquiry before passing assessment order u/s. 143(3) of the Income Tax Act.
Facts- Survey u/s. 133A of the Act was carried out at the premises of the assessee, proprietor of M/s. Fancy Jewellers, Haryana wherein an additional income of Rs. 90,63,000/- was admitted by the assessee on account of unexplained cash and stock. The assessee filed his return declaring income of Rs. 94,60,870/-. The case of the assessee was selected for compulsory scrutiny. AO completed the assessment u/s. 143(3) of the Act on the income returned at Rs. 94,60,870/-.
PCIT, in exercise of jurisdiction conferred u/s. 263, concluded that the surrendered income was in the nature of unexplained cash and unexplained stock and the same was liable to be added as income from other sources and tax was liable to be paid @ 60% u/s. 115BBE of the Act which AO failed to do. Therefore, his order was erroneous and prejudicial to the interest of Revenue which he set aside with direction to the AO to pass a fresh order in accordance with the law.
Being aggrieved, the present appeal is filed.
Please become a Premium member. If you are already a Premium member, login here to access the full content.