Income Tax : The Tribunal held that CIT(A) cannot enhance income under Section 251 on matters not considered by the Assessing Officer during as...
Income Tax : The ITAT held that revisional powers under Section 263 cannot be exercised when the Assessing Officer has already examined the iss...
Income Tax : ITAT quashed PCIT’s Section 263 order, holding AO’s treatment of survey income as business income valid and not erroneous or p...
Income Tax : Ahmedabad ITAT quashes reassessments based on ACB report, ruling the AO lacked independent "reason to believe" and only used borro...
Income Tax : ITAT Pune upholds PCIT's order u/s 263, setting aside an assessment for failure to verify ₹82.64 crore in advances for property...
Income Tax : National Chamber of Industries & Commerce, U.P has made a representation against Indiscriminate notices by the Income Tax Depa...
Income Tax : KSCAA has made a Representation on Challenges in Income Tax Related to Rectification Proceedings, Order Giving Effect, Delay in P...
Income Tax : One of the key sources of dispute is the existing arrangement for follow up on audit objections by Internal Audit Party and the Re...
Income Tax : ITAT held an assessment passed after the taxpayer's death was invalid in law, quashed the order, and treated all remaining issues ...
Income Tax : ITAT deleted additions after finding the AO relied only on ACB information without independent inquiry or supporting evidence. ITA...
Income Tax : ITAT Kolkata held that a loan received by a company that was not a shareholder of the lender could not be taxed as deemed dividend...
Income Tax : The Court held that Section 263 could not be invoked where the AO had made inquiries and accepted the assessee's explanation....
Income Tax : The Court held that Section 263 could not be invoked where the AO had raised queries, examined replies and completed the assessmen...
The ITAT Mumbai quashed a revisionary order under Section 263, ruling that the Assessing Officer’s detailed scrutiny into the Rs.124 crore business loss was adequate.2 The Tribunal confirmed that when an AO conducts proper inquiries, the order is not “erroneous” and cannot be subject to revision merely because the PCIT disagrees.
The ITAT allowed the assessee’s appeal, holding that the PCIT’s order under Section 263 was unsustainable because it failed to cite any specific instance where the AO neglected to verify the alleged fictitious loan transaction. For Section 263 to apply, both the error in the assessment and prejudice to the revenue must be proven, which the PCIT did not demonstrate.
The case was remanded for fresh adjudication because the lower authorities failed to consider the taxpayer’s claim that a significant Nazarana/fees paid to the Municipal Corporation should be included in the property’s cost. The ITAT directed the AO to verify all factual claims related to the cost of acquisition and the date of agreement for correct valuation under Section 56(2)(vii)(b).
The ITAT Agra dismissed the Revenue’s appeal against the deletion of a ₹2.35 crore unexplained cash credit under Section 68, agreeing that the amount was a closing balance from prior, assessed years. The ruling established that the taxpayer’s savings and financial reconciliation, supported by earlier ITRs, were sufficient evidence against the addition.
PCIT initiated a Section 263 revision over AO’s failure to disallow cash payments under Section 40A(3). ITAT held that since AO had conducted adequate inquiry and taken a plausible view, revision was an invalid overreach and quashed order. The ruling affirms that a mere difference in opinion doesn’t satisfy twin conditions for invoking Section 263.
The PCIT challenged the assessment order under Section 263 over the AO’s acceptance of goodwill depreciation, warranty provision, and CSR-linked 80G deduction. The ITAT quashed the revision, finding the AO conducted due inquiry and adopted a plausible legal view on all three claims. The ruling confirms that an assessment order based on due inquiry cannot be revised merely on a difference of opinion.
The Tribunal held that detailed inquiries by the AO made Section 263 inapplicable and upheld the assessee’s claims for capital loss and bad debts on merits.
The ITAT Mumbai canceled seven revisionary orders under section 263, ruling that for completed (unabated) assessments under section 153A, the Principal Commissioner of Income Tax (PCIT) cannot make additions or disallowances, such as challenging an 80IC deduction, without finding incriminating material during the search. The Tribunal reaffirmed that the PCIT’s power under $s.263$ cannot be used for a mere roving inquiry.
ITAT Mumbai allowed a Rs.109.73 Cr relief, ruling that payments for centralized support services like HR and IT are not taxable as FTS or Royalty under India-Belgium DTAA. court held that these routine corporate activities lacked element of transferring technical knowledge or expertise.
The Tribunal set aside the PCIT’s revision of a scrutiny assessment, ruling the action invalid because the Assessing Officer’s view on critical items like creditors and PF/ESI payments was already plausible and reasoned. Introducing new issues not covered in the show-cause notice constituted an exercise of jurisdiction beyond the permissible scope of Section 263.
