Direction of PCIT to Fresh Assessment without Enquiry is Invalid: Supreme Court Dismisses SLP [Read Order]
The SC dismissed the SLP and Direction of PCIT to Fresh Assessment without Enquiry is Invalid
PCIT – Fresh Assessment without Enquiry – Supreme Court – Special Leave Petition – SLP – Assessment – taxscan
PCIT – Fresh Assessment without Enquiry – Supreme Court – Special Leave Petition – SLP – Assessment – taxscan
The Supreme Court dismissed the Special Leave Petition (SLP) and observed that the direction of the Principal Commissioner of Income Tax(PCIT) to fresh assessment without enquiry is invalid.
The appeal by the Revenue is directed against an order passed by the Income Tax Appellate Tribunal, Cuttack Bench, Cuttack allowing Assessee for the assessment year (AY) 2009-10.The said appeal was directed against an order dated 29th March 2019 passed by the Principal CIT, Sambalpur under Section 263 of the Income Tax Act, 1961 (Act).
The ITAT has set aside the said order of the Principal CIT that the direction requiring the assessing officer to undertake a fresh exercise of assessment was not preceded by any enquiry. As noted by the ITAT “This is not a case of inadequacy of enquiry. It is a case of absence of enquiry”.
The view taken by the ITAT appears to be a plausible one and not erroneous in law. Consequently, the Court is not satisfied that any substantial question of law arises. The appeal is dismissed
A two-judge bench of Justice Sanjiv Khanna and Justice S V N Bhatti refused to interfere with the impugned judgment and dismissed the special leave petition.
To Read the full text of the Order CLICK HERE
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