TaxTMI 
TaxTMI 
2025 (8) TMI 875
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....Assessment Year [A.Y.] 2015-16. 2. The grounds of appeal are as under: 1:0 Re.: Violation of principles of natural justice: 1:1 The Principal Commissioner of Income-tax has erred in passing the impugned Order without serving the relevant Notice u/s. 263 of the Income-tax Act, 1961 on the Appellant and in thereby not giving the Appellant an opportunity of being heard which is against the accepted principles of natural justice and in complete contravention to the provisions of sub-section (1) of section 263 of the Income-tax Act, 1961. 1:2 The Appellant submits that considering the facts and circumstances of its case and the law prevailing on the subject the said Order has been passed without serving the Notice t....
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.... 2:6 The Appellant submits that the revisions vis-à-vis the below mentioned additions/disallowances do not pertain to the Appellant and pertains to the sister concern viz., Maharashtra State Electricity Transmission Co. Ltd.' and hence even on this count the Order u/s. 263 of the Income-tax Act, 1961 is erroneous, and bad in law since it has been passed without any application of mind whatsoever: * Disallowance of Rs. 23,72,48,000/- being prior period expenditure; (para 2.4 of the impugned order) * Addition of Rs. 1,06,00,000/- on account of understatement of income; (para 2.5(a) of the impugned order) * Addition of Rs. 12,09,00,000/- on account of overstatement of non-current....
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....ully perused the record, relevant orders and have also taken note of the rival arguments. It is prima facie case where the revision order by the ld. PCIT suffers from innumerable errors, omissions and incorrect application of law and also gross violation of rules of natural justice both on merits and in law. He did not allow the assessee adequate time for making its submissions. The ld.AR has drawn attention to pages 329 and 330 of the Paper book submitted claiming that the alleged show-cause notices issued by the PCIT were never available on Income Tax portal and even on date, they are available. Therefore, the said notices were never issued or served on the assessee. Hence, the basic principles of natural justice have been grossly violate....
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....he provisions of section 263 of the Act. The ld.CIT(DR) of the department could not controvert the arguments of the assessee in any manner whatsoever. 6. Based on the discussion in the preceeding paras, we are of the considered view that the revision order has been passed on incorrect appreciation of facts and without any application of mind as also against the cardinal principal of natural justice and fairplay. The ld. Pr. CIT has utterly failed to make out a case of assessment order being erroneous and prejudicial to the interest of the revenue in terms of section 263 of the Act.He has incorrectly assumed jurisdiction over the case and cancelled the assessment order. Two pre-requisites must be present before the Commissioner can exerci....