2018 (3) TMI 1937

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....BILLAIYA, ACCOUNTANT MEMBER 1. With this appeal, the assessee has challenged the validity of the order of the ld.CIT, Raipur dated 18.03.2014 framed u/s. 263 of the Act. 2. The assessee contends that the ld. CIT has wrongly assumed the jurisdiction u/s. 263 of the Act, when the assessment order dated 23.12.2011 framed u/s. 143(3) of the Act is neither erroneous nor prejudicial to the interest of....

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....ar, 1 find that the order passed u/s 143(3) on 23.12.2011 of the Income tax Act 1961 is erroneous in so far as it is prejudicial to the interest of revenue in the following manner: On verification of your record it is found that: (i) You have claimed deduction of Rs. 15,68,225/- u/s 801B. The claim was twenty five percent of profit of the Pradhanpalli unit. As per IT Act 1961, a small scale in....

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....mstances, it is proposed to take remedial action under section 263 of the IT Act, 1961. You are, therefore, requested to show cause as to why remedial action u/s 263 should not be taken. Your case is fixed for hearing on 28.01.2014 at 12.15 P.M. at the Office of the Commissioner of Income- Tax. Central Revenue Building, Civil Lines, Raipur. Please note that in case of non-appearance or non-recei....

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.... case of Kewal Kiran Clothing Pvt. Ltd. in ITA No. 2173/Mum/2009 had the occasion to consider an identical issue wherein the claim of deduction u/s. 80IB of the Act was for the tenth year and held that since the assessee has filed the audit report before the ld. CIT, no adverse inference should be drawn in proceedings u/s. 263 of the Act. 8. Most importantly, the claim of deduction u/s. 80IB of t....