https://www.taxtmi.com/caselaws?id=462746 ITAT Mumbai allowed the assessee's appeal against PCIT's revision order u/s 263 regarding ESOP expense deductions. The tribunal held that AO's order allowing ESOP deductions u/s 37(1) was not erroneous or prejudicial to revenue, following the Special Bench decision in Biocon Ltd. case. PCIT's revision was unjustified as AO took a plausible view supported by precedent. The tribunal noted PCIT was aware of Karnataka HC's confirmation of Biocon decision, yet exercised revision powers inappropriately. All relevant facts were on record, negating need for further inquiry. PCIT's notice under different explanation provisions without proper confrontation rendered the revision order unsustainable. en-us Mon, 31 Jul 2023 00:00:00 +0530 Sat, 12 Jul 2025 23:06:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=462746 ITAT Mumbai allowed the assessee's appeal against PCIT's revision order u/s 263 regarding ESOP expense deductions. The tribunal held that AO's order allowing ESOP deductions u/s 37(1) was not erroneous or prejudicial to revenue, following the Special Bench decision in Biocon Ltd. case. PCIT's revision was unjustified as AO took a plausible view supported by precedent. The tribunal noted PCIT was aware of Karnataka HC's confirmation of Biocon decision, yet exercised revision powers inappropriately. All relevant facts were on record, negating need for further inquiry. PCIT's notice under different explanation provisions without proper confrontation rendered the revision order unsustainable. Case-Laws Income Tax Mon, 31 Jul 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=462746