TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Revision Order Under Section 263 Quashed for Denying Section 80G Deduction on CSR Expenses with Proper Documentation</h1> <h3>Glenmark Pharmaceuticals Limited Versus PCIT-3, Mumbai.</h3> Glenmark Pharmaceuticals Limited Versus PCIT-3, Mumbai. - TMI ISSUES: Whether the order passed under section 263 of the Income Tax Act, 1961 is valid and sustainable.Whether the assessment order under sections 143(3) read with 144C(3) and 144B of the Act is erroneous and prejudicial to the interest of revenue.Whether deduction under section 80G of the Act is allowable in respect of corporate social responsibility (CSR) expenditure incurred by the assessee.Whether the assessing officer conducted adequate enquiry regarding the allowability of deduction claimed under section 80G on CSR expenditure. RULINGS / HOLDINGS: The order passed under section 263 of the Act was held to be not sustainable in law and was quashed, as the assessing officer had made relevant enquiries and the issue was covered by coordinate bench decisions.The assessment order under sections 143(3) r.w.s. 144C(3) r.w.s. 144B was not erroneous or prejudicial to the interest of revenue regarding the allowance of deduction under section 80G on CSR expenditure.Deduction under section 80G of the Act is allowable on the CSR expenditure incurred by the assessee, as held by various decisions of the ITAT, Mumbai.The assessing officer had specifically enquired into the allowability of the deduction claimed under section 80G by issuing notice under section 142(1) and obtained detailed submissions and documentary evidence from the assessee. RATIONALE: The legal framework applied includes sections 80G, 37(1), 142(1), 143(3), 144B, 144C(3), and 263 of the Income Tax Act, 1961.The Principal Commissioner of Income Tax's order under section 263 was based on the premise that the assessing officer did not examine the allowability of deduction under section 80G on CSR expenditure, which was contradicted by the record showing that specific enquiries and submissions took place during assessment proceedings.Precedents from coordinate benches of the ITAT, Mumbai, including decisions in cases concerning deduction under section 80G on CSR expenditure, were relied upon to affirm the allowability of such deduction.The decision reflects adherence to established judicial pronouncements and rejects a broad interpretation disallowing section 80G deduction on CSR expenses, thereby maintaining consistency in tax jurisprudence.
TaxTMI 
TaxTMI 
