https://www.taxtmi.com/caselaws?id=458438 A revision under Section 263 of the Income-tax Act cannot be used to direct an outright disallowance where the matter first requires re-examination by the Assessing Officer. The dispute concerned payments for import of machinery, spares and raw materials after an assessment under Section 143(3). The appellate authority held that the Commissioner's instruction to add back the amount as disallowable expenditure exceeded the scope of revisionary jurisdiction, because the issue had to be examined afresh on the facts. It also noted the Section 195(1) tax deduction principle that withholding applies only where the sum is assessable in India. The Tribunal's order quashing the direction was upheld. en-us Tue, 15 Nov 2022 00:00:00 +0530 Sat, 26 Oct 2024 19:28:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=458438 A revision under Section 263 of the Income-tax Act cannot be used to direct an outright disallowance where the matter first requires re-examination by the Assessing Officer. The dispute concerned payments for import of machinery, spares and raw materials after an assessment under Section 143(3). The appellate authority held that the Commissioner's instruction to add back the amount as disallowable expenditure exceeded the scope of revisionary jurisdiction, because the issue had to be examined afresh on the facts. It also noted the Section 195(1) tax deduction principle that withholding applies only where the sum is assessable in India. The Tribunal's order quashing the direction was upheld. Case-Laws Income Tax Tue, 15 Nov 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=458438