ITAT Mumbai Voids Section 263 Order Against Narayan Rane

Narayan Tatu Rane Vs ITO (ITAT Mumbai) The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) recently addressed the scope of revisional powers vested in the Principal Commissioner of Income Tax (Pr. CIT) under Section 263 of the Income Tax Act, 1961. In the case concerning Mr. Narayan Tatu Rane, the ITAT set aside the revision order passed by the Pr. CIT, emphasizing that such powers can only be invoked if the Assessing Officer’s (AO) order is demonstrably both “erroneous” and “prejudicial to the interests of the Revenue.” The Tribunal relied on established...