https://www.taxtmi.com/caselaws?id=773594 ITAT Bangalore dismissed the assessee's appeal challenging PCIT's revision under section 263. The assessee firm engaged in coffee manufacturing declared NIL income claiming agricultural income exemption. AO accepted the claim without proper inquiry or applying Rule 7B of IT Rules, 1962, which specifically governs coffee growers. PCIT correctly observed that AO failed to verify the coffee growing and selling process. ITAT held that accepting claims without adequate enquiry renders the assessment order erroneous and prejudicial to revenue interests, justifying PCIT's revisional jurisdiction. en-us Thu, 19 Jun 2025 00:00:00 +0530 Wed, 25 Jun 2025 09:23:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773594 ITAT Bangalore dismissed the assessee's appeal challenging PCIT's revision under section 263. The assessee firm engaged in coffee manufacturing declared NIL income claiming agricultural income exemption. AO accepted the claim without proper inquiry or applying Rule 7B of IT Rules, 1962, which specifically governs coffee growers. PCIT correctly observed that AO failed to verify the coffee growing and selling process. ITAT held that accepting claims without adequate enquiry renders the assessment order erroneous and prejudicial to revenue interests, justifying PCIT's revisional jurisdiction. Case-Laws Income Tax Thu, 19 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773594