PCIT Cannot Revise When AO Took Possible View-10% Tolerance u/s 43CA Applies Retrospectively

Sai Essen Developers Vs PCIT (ITAT Pune)

Facts

Assessee, engaged in real estate & construction, filed return declaring income of ₹15.26 Cr after claiming deduction u/s 80IB. During survey, partner admitted estimated income of ₹15.29 Cr, which matched declared income. AO completed assessment u/s 143(3) accepting returned income. PCIT noticed variation of ₹15.15 Lakh between agreement value & ready reckoner value of certain flats sold. PCIT invoked s.263, holding that AO failed to apply s.43CA and treated assessment order as erroneous & prejudicial to

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