https://www.taxtmi.com/caselaws?id=338064 The Tribunal allowed the assessee's appeal, quashing the order passed under Section 263 of the Income Tax Act, 1961, and dismissed the Revenue's appeal, upholding the deletion of the disallowance of interest expenditure. The Tribunal emphasized that the Commissioner must demonstrate how the AO's order was erroneous and prejudicial to the interests of the Revenue and that mere inadequacy of inquiry does not justify invoking Section 263. The Tribunal also found that the assessee had sufficient interest-free funds to cover the advances made to M/s. Metal Alloys Corporation, thereby justifying the deletion of the disallowance of interest expenditure. en-us Fri, 20 Jan 2017 00:00:00 +0530 Mon, 23 Sep 2019 10:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=338064 The Tribunal allowed the assessee's appeal, quashing the order passed under Section 263 of the Income Tax Act, 1961, and dismissed the Revenue's appeal, upholding the deletion of the disallowance of interest expenditure. The Tribunal emphasized that the Commissioner must demonstrate how the AO's order was erroneous and prejudicial to the interests of the Revenue and that mere inadequacy of inquiry does not justify invoking Section 263. The Tribunal also found that the assessee had sufficient interest-free funds to cover the advances made to M/s. Metal Alloys Corporation, thereby justifying the deletion of the disallowance of interest expenditure. Case-Laws Income Tax Fri, 20 Jan 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=338064