https://www.taxtmi.com/caselaws?id=412102 The tribunal held that the Principal Commissioner of Income Tax's invocation of revisionary powers under Section 263 was invalid as the Assessing Officer had conducted proper enquiries and taken a reasonable view regarding the treatment of liquidated damages. The tribunal found that the liquidated damages received should be treated as capital receipts and not reduce the actual cost of the asset for depreciation purposes, in line with judicial precedents. The appeal of the assessee was allowed, and the Assessing Officer's order was sustained, setting aside the Principal Commissioner of Income Tax's order under Section 263. en-us Tue, 07 Sep 2021 00:00:00 +0530 Fri, 10 Sep 2021 09:05:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=412102 The tribunal held that the Principal Commissioner of Income Tax's invocation of revisionary powers under Section 263 was invalid as the Assessing Officer had conducted proper enquiries and taken a reasonable view regarding the treatment of liquidated damages. The tribunal found that the liquidated damages received should be treated as capital receipts and not reduce the actual cost of the asset for depreciation purposes, in line with judicial precedents. The appeal of the assessee was allowed, and the Assessing Officer's order was sustained, setting aside the Principal Commissioner of Income Tax's order under Section 263. Case-Laws Income Tax Tue, 07 Sep 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=412102