TaxTMI 
TaxTMI 
2025 (9) TMI 1668
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....as the "Act") and relates to Assessment Year (A.Y.) 2020-21. 2. The assessee has raised the following grounds of appeal: "1. On the facts and in the circumstances of the case as well in law, the Ld PCIT Ahmedabad 1 ("Ld. PCIT") has erred in law and on facts in exercising jurisdiction under section 263 of the Income Tax Act, 1961 ('the Act') in respect of the assessment order dated 27.09.2022 passed under section 143(3) r.w.s. 144B of the Act, which was neither erroneous nor prejudicial to the interests of the Revenue. 2. That the Ld. PCIT has failed to consider that the under the Income Tax Act applicable to the Assessment Year 2020-21, the deduction u/s 80G of the Act was deductible for computing total income o....
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....duction under Chapter-VI-A Heading C of the Act, while the claim of deduction under Section 80G of the Act fell within Heading B of Chapter-VIA of the Act. The order of the Ld. PCIT reveals that he admitted to this position of law as pointed out by the Ld. Counsel for the assessee but still restored the matter to the AO for the limited purposes of verifying the eligibility of claim of deduction under Section 80G of the Act in terms of the relevant provisions of law existing for the impugned year. The above facts are revealed in Para 2 to 6 of the order as under: "2. On perusal of records, it is seen that the assessee has claimed deduction of Rs. 1,03,10,001/- under section 80G of the Act, the same is not admissible due to the fact ....
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....f deduction of donation under section 80G of the Act, the A.O. is directed to verify the claim vis-a-vis provisions of section 115BAA of the Act as it stood or existed at relevant time of application to the assessment year 2020-21. The relevant paraphrase of provisions of section 115BAA of the Act is reproduced below for clarity: 2) For the purposes of sub-section (1), the total income of the company shall be computed, - (i) without any deduction under the provisions of section 10AA or clause (iia) of sub-section (1) of section 32 or section 32AD or section 33AB or section 33/48/4 or sub-clause (II) or sub-clause (iia) or sub-clause (Hi) of subsection (1) or sub-section (2AA) or sub-section (2AB) of section 35 or section 3....
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....duction under Section 80G of the Act after having opted for paying taxes in terms of the provisions of Section 115BAA of the Act. The Ld. PCIT having categorically admitted to the position of law, as applicable to the impugned year, as not debarring the assessee from claim of deduction under Section 80G of the Act, after interpreting Section 115BAA of the Act, there surely could not have been any case for any error in the order of the AO allowing such claim to the assessee. The fact that the Ld. PCIT directed the AO to verify the claim of the assessee, whether it was as per the prevailing provisions of law, strengthens the case of there being no error in the order of the AO. The provisions of Section 263 of the Act give powers of revision o....