Revision under section 263 remains available for assessments made under section 143(3) read with section 144B.

An assessment order passed under section 143(3) read with section 144B of the Income-tax Act, 1961 is not immune from revision under section 263 merely because that assessment procedure was used. The Tribunal had relied on an earlier Special Bench view barring such revision, but that view was later reversed by the Andhra Pradesh High Court, and the Gujarat High Court agreed with that reversal. The legal effect is that the Commissioner's revisional power under section 263 remains available even where the original assessment was made under section 143(3) read with section 144B, and the revision is not invalid on that ground alone.

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Issues: Whether the Commissioner's order under section 263 of the Income-tax Act, 1961 was invalid merely because the assessment order had been passed under section 143(3) read with section 144B of the Act.

Analysis: The Tribunal had followed an earlier Special Bench view that a revision under section 263 could not be exercised against an assessment made under section 143(3) read with section 144B. That view had, however, been reversed by the Andhra Pradesh High Court, and the Court expressed respectful agreement with that reversal.

Conclusion: The question was answered in the negative, holding that the Commissioner's revision under section 263 was not invalid on that ground, and the answer was in favour of the Revenue and against the assessee.

Ratio Decidendi: An assessment order passed under section 143(3) read with section 144B of the Income-tax Act, 1961 is not immune from revision under section 263 merely by reason of the procedure adopted in assessment.

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