TaxTMI 
TaxTMI 
2020 (9) TMI 407
X X X X Extracts X X X X
X X X X Extracts X X X X
....-15 vide order dated 6.10.2016. 2. At the outset, it was observed by the Bench that the instant appeal is time barred by limitation. In view of the assessee's application dated 22/6/2019, filed along with the appeal memo on 28/6/2019, which was fairly not objected to by the ld. CIT-DR, we condone the delay of 55 days in presenting this appeal before the Tribunal. 3.1 The assessee's case is that the impugned order is bad in law inasmuch as the it travels beyond the scope of enquiry for which the assessee's return of income for relevant year, filed on 6.9.2014, was selected for verification by the issue of notice u/s. 143(2) (PB pg. 27), i.e., as a limited scrutiny case through Computer Aided Scrutiny Selection (CASS). The same was only....
X X X X Extracts X X X X
X X X X Extracts X X X X
....on u/s. 263, and toward which reference was made to the following decisions: (i) Akash Ganga Promoters and Developers vs. Pr. CIT (ITA No. 164/Ctk/2019, dated 18.12.2019) (ii) Sanjeev Kr. Khenka vs. Pr.CIT (ITA No.1361/Kol/2016, dated 2.6.2017) (iii) Su-Raj Diamond Dealers P. Ltd. vs. Pr. CIT (ITA No. 3098/Mum/2019, dated 27.11.2019). 3.2 The ld. CIT-DR would, on the other hand, submit that the whole purport of an enquiry into the sale consideration of an immovable property is the correct determination of the capital gains arising on the transfer thereof. Section 45 creates a charge to tax on any profits or gains arising on the transfer of a capital asset by an assessee during the previous year. Section 48 prov....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ope of enquiry stated in Instruction 20/2015, referred to earlier, is per CASS-2014, while what would apply in the assessee's case is CASS-2015 as the notice u/s. 143(2) stand issued on 29.8.2015. Para 3 of the Instruction No.20/2015, which relates to CASS-2015, was also gone through during hearing. On a query by the Bench, Sh. Doshi would though admit that the sale consideration as assessed (Rs. 147.50 lacs) was short of the consideration u/s.50C (AIR), i.e., Rs. 147.66 lacs, and to that extent, also directed for correction by the ld. PCIT per the impugned order, he had no grievance, though would add that the same could also have been made by way of a rectification u/s.154. 4. We have heard the parties and have perused the material on r....
X X X X Extracts X X X X
X X X X Extracts X X X X
....for scrutiny through CASS-2014. ii. Whether the said instruction is applicable to all cases selected under CASS: The said instruction is applicable where the case is selected for scrutiny under CASS only on the parameter(s) of AIR/CIB/26AS data. If a case has been selected under CASS for any other reason(s) parameter(s) besides the AIR/CIB/26AS data then the said instruction would not apply. iii. Scope of enquiry: Specific issue based enquiry is to be conducted only in those scrutiny cases which have been selected on the parameter(s) of AIR/CIB/26AS data. In such cases, the Assessing Officer, shall also confine the Questionnaire only to the specific issues pertaining to AIR/CIB/26AS data. Wider scrutiny in these cases can ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....r the assessee's return, selected in 2015, falls. It is, rather, Instruction No.7/2014 which is only applicable to CASS-2014 cases. The scope of enquiry in a limited scrutiny case under CASS-2015 is to be, as for CASS-2014 cases, confined to the reasons/issues for which the case has been taken up for scrutiny (para 3(b)). The enquiry, therefore, is to be issue-based, and only specific issues pertaining to the AIR/CIB/26AS data could be enquired into. Further, this limitation, as it appears, shall not apply where a return is selected for assessment, though under CASS, but not with reference to AIR/CIB/26AS data, even as the selection in the instant case is, without doubt, based on AIR data. The various returns, as the Annual Information R....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e scope of enquiry enhanced by converting it into a complete scrutiny case, following the requisite procedure in its respect. 5. In view of the forgoing, we, subject to the upward adjustment of the sale consideration by Rs. 0.16 lacs, i.e., to Rs. 147.66 lacs, conceded to before us, uphold the assessee's claim. A clarification, though, may be in order here. The computer does not formulate or enumerate the issues arising, but only throws up the areas, based on defined parameters, for being examined in a limited scrutiny assessment. The said formulation would require consideration of the relevant facts; related aspects; explanation/s furnished, etc., and due application of mind by the assessing authority. It was, thus, fully open for the A....