Section 263 Action Invalid Due to Adequate Inquiry by Assessing Officer

Changela Mohanbhai R HUF Vs PCIT (ITAT Rajkot) The assessee, a Hindu Undivided Family, filed its return for Assessment Year 2020–21 declaring a total income of Rs. 19,29,090 and agricultural income of Rs. 60,87,400. The case was selected for limited scrutiny on the issue of large agricultural income, and assessment was completed under section 143(3) read with 144B on 8 September 2022, accepting the returned income. Subsequently, the Principal Commissioner of Income Tax (PCIT) invoked section 263, holding that the assessment order was erroneous and prejudicial to the interests of the Revenue....