https://www.taxtmi.com/caselaws?id=439087 Revision under section 263 requires the assessment order to be both erroneous and prejudicial to the interests of the Revenue; a direction for further inquiry alone is insufficient. Where cash payments concern purchases of capital assets, the CBDT circular on section 40A(3) indicates that such payments fall outside that provision. Revision may be invoked for complete lack of inquiry, but not for allegedly inadequate inquiry unless the revisional authority independently records a clear, reasoned finding of error on the available material. The assessment order was restored because the revisionary jurisdiction was not validly assumed. en-us Wed, 16 Nov 2022 00:00:00 +0530 Fri, 16 Jun 2023 09:47:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=439087 Revision under section 263 requires the assessment order to be both erroneous and prejudicial to the interests of the Revenue; a direction for further inquiry alone is insufficient. Where cash payments concern purchases of capital assets, the CBDT circular on section 40A(3) indicates that such payments fall outside that provision. Revision may be invoked for complete lack of inquiry, but not for allegedly inadequate inquiry unless the revisional authority independently records a clear, reasoned finding of error on the available material. The assessment order was restored because the revisionary jurisdiction was not validly assumed. Case-Laws Income Tax Wed, 16 Nov 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=439087