2025 (6) TMI 883

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....f her revisionary powers under Section 263 of the Income-tax Act, 1961 [hereinafter referred to as "the Act"], for the Assessment Year (AY) 2014-15. 2. The Assessee has taken following grounds of appeal :- "1. The Ld. PCIT has grossly erred in law and on facts in assuming jurisdiction u/s.263 of the Act on the erroneous ground that the impugned assessment order is erroneous in so far as it is prejudicial to the interest of the revenue. 2. The Ld. PCIT has grossly erred in not appreciating that in order to invoke s.263, two conditions must be fulfilled viz. the impugned assessment order must be erroneous and that error must be prejudicial to the interest of the revenue. In the present case, Ld. AO has passed the reasoned....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....erspective." 3. The brief facts of the case are that the assessee, who is an individual, filed her return of income for the year under consideration on 31.07.2014 declaring total income of Rs. 63,21,444/-. The case was reopened u/s. 147 of the Act. Pursuant to reopening under section 147 of the Act, the assessee filed a revised return on 16.08.2021 declaring Rs. 63,21,450/-, and the assessment was completed on 18.03.2022 accepting the returned income. 4. The Ld. PCIT noted that based on the information available on record, the assessee had received accommodation entries amounting to Rs. 72,00,000/- from the Ashish Begwani Group and its associates, and had allegedly paid Rs. 2,10,000/- in cash @ 3% as commission to the entry provider. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n an opportunity to submit your reply, if any, through ITBA/email on or before 22/03/2024. In case you wish to avail personal hearing, you may attend in person or through your authorized representative on 22/03/2024 at 11.00 AM in my office at Room No. 317, Aayakar Bhawan, Ashram Road, Ahmedabad." 5. Since the assessee failed to appear before the Ld. PCIT and did not file any submission or reply in response to the show-cause notice, the Ld. PCIT proceeded to pass an order u/s 263 of the Act holding that the assessment order passed by the Assessing Officer on 18.03.2022 was erroneous and prejudicial to the interests of the Revenue, as it was completed without conducting the necessary examination, verification, or enquiries regarding the a....