https://www.taxtmi.com/caselaws?id=780434 ITAT RAJKOT - AT allowed the appeal and quashed the revision proceedings initiated under section 263 by the PCIT. The tribunal held the AO's test-check of agricultural expenses did not cause any loss of revenue because variations in agricultural expenses only affect exempt agricultural income. The assessment therefore was not shown to be erroneous or prejudicial to revenue. The bench noted that while the CIT can revise orders on merits, mere absence of a full investigation without demonstrable prejudice does not meet the statutory threshold for exercise of section 263. en-us Mon, 27 Oct 2025 00:00:00 +0530 Thu, 30 Oct 2025 08:22:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=780434 ITAT RAJKOT - AT allowed the appeal and quashed the revision proceedings initiated under section 263 by the PCIT. The tribunal held the AO's test-check of agricultural expenses did not cause any loss of revenue because variations in agricultural expenses only affect exempt agricultural income. The assessment therefore was not shown to be erroneous or prejudicial to revenue. The bench noted that while the CIT can revise orders on merits, mere absence of a full investigation without demonstrable prejudice does not meet the statutory threshold for exercise of section 263. Case-Laws Income Tax Mon, 27 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=780434