2022 (1) TMI 875

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....t, 1961 (for short 'the Act') on the grounds inter alia that :- "On the facts and in the circumstances of the case, the CIT(A) has erred both on facts and in law, in exceeding his jurisdiction and directing the AO to take action u/s 147/148 read with the provisions of section 150 of the Income Tax Act, 1961 which is beyond the scope of the statutory powers and provisions and hence, the direction should be deleted by expunging the same." 2. Briefly stated the facts necessary for adjudication of the controversy at hand are : Assessment in this case was framed u/s 143(3) of the Act by the Assessing Officer (AO) vide order dated 28.02.2013 by making disallowances of Rs. 29,62,490/-. However, thereafter, AO by invoking the provisions....

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....in case of M/s. GI Power Corporation Ltd. vs. DCIT in ITA No.305/Asr/2014 for AY 2007-08 order dated 23.03.2016. 7. However, on the other hand, ld. DR for the Revenue relied upon the order passed by the ld. CIT (A). 8. For ready perusal, directions issued by the ld. CIT (A) are extracted as under :- "8.7 In the instant case, it is quite clear that the nature of the income involved i.e. the allowance of expenditure of Rs. 44,00,000/- towards salary to partners was not, in the facts and circumstances of the case, a mistake which was to be rectified u/s 154. Hence the action of the Assessing Officer of reassessing the Income of the Appellant Firm u/s 154/143(3) by adding the amount of Rs. 44,00,000/- cannot be approved. Accordin....