Proceeding u/s 263 initiated on the basis of existing circular which conflicts with views of High Courts or Supreme Court not sustainable

Bhartia Industries Ltd. Vs CIT (Kolkata High Court)- The Commissioner of Income-tax initiated proceedings under Section 263 of the Act questioning the allowance of the said payments made on account of VRS by the Assessing Officer and an order under Section 263 of the Act dated March 4, 2003 was passed by the Commissioner under Section 263 of the Act. In the said order the Commissioner observed that the Assessing Officer was bound by the Circular dated January 23, 2001 issued by the Board as to the eligibility of deduction of such payment on acc

Please become a Premium member. If you are already a Premium member, login here to access the full content.