LIC Mutual Fund Asset Management Limited Vs DCIT (ITAT Mumbai)
ITAT Mumbai held that passing of order under section 263 of the Income Tax Act by PCIT without considering submissions filed by the assessee amounts to non-speaking order. Accordingly, matter is remitted back to PCIT to consider the submissions and pass a speaking order.
Facts- Post scrutiny assessment, the assessment records were called-for by the Ld. PCIT and it was noticed by the Ld. PCIT that certain accounting entries made and disclosure of income earned by the assessee for the impugned assessment year were indicative of error, leading to under assessment of income and a show cause was issued to the assessee u/s. 263 of the Act. Thereafter, PCIT passed the impugned order u/s. 263. Accordingly, being aggrieved, the present appeal has been filed by the assessee.
Conclusion- PCIT has started with the findings in the initial show-cause and ended with the findings in the initial show-cause as his final findings and matter has been set-aside to the file of the AO on points raised in the show-cause. No finding has been recorded as to how the submissions so filed by the assessee were not found acceptable and the reasons for arriving at such a finding.
