By K. B. Bhujle
Advocate
14 CIT vs. Indian Overseas Bank [2022] 441 ITR 689 (Mad) A.Y.: 2004-05 Date of order: 10th August, 2021 Ss.143, 147 and 263 of ITA, 1961
Revision — Limitation — Original assessment u/s 143(3) on 28/12/2006 and reassessment on 30/12/2011 — Order of revision u/s 163 on 26/03/2014 in respect of issue concluded in original assessment — Barred by limitationFor the A.Y. 2004-05, the assessment was completed u/s 143(3) of the Income-tax Act 1961 by order dated 28th December, 2006. Thereafter, the assessment was reopened concerning certain investments and prior period expenses of Rs. 93,04,142. The assessee submitted their reply. Thereafter, the assessment was completed by an order dated 30th December, 2011 u/s 143(3) r.w.s.147 of the Act. After taking into consideration the reply given by the assessee, the Assessing Officer held that no disallowance was required to be made in respect of the prior period expenses. In other words, the explanation offered by the assessee was found to be satisfactory by the Assessing Officer.
Thereafter, the Commissioner of Income-tax initiated proceedings u/s 263(1) of the Act proposing to revise the reassessment order dated 30th December, 2011 and claiming that the claim for deduction of business loss of R72.75 crores have been wrongly allowed in the assessment order. The assessee objected to the exercise of power u/s 263(1) on the ground of limitation as well as on the merits. However, b
