9911796707
TMI Blog2012 (9) TMI 357X X X X Extracts X X X X X X X X Extracts X X X X ..... neither the subject matter of AO’s order u/s.143(3) nor the subject matter of the appeal before the CIT(A) or considered in the order of the CIT(A). In such a situation where the AO is precluded from considering the above issues, the CIT in exercise of his powers u/s.263 cannot compel the AO to consider the above aspects. He cannot term the order of the AO as erroneous and prejudicial to the interest of the revenue for failure to consider the above issues. The order of the AO dt.18.3.2010 cannot therefore, said to be erroneous for not considering the above issues. On this short ground the order u/s.263 in so far as it relates to the issues with regard to adding Provision for NPA, Provision for Standard Advances and Bad investments writt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 31.1.2008. The AO computed book profits in the aforesaid order of assessment as follows: Net profit as per Profit and Loss A/c. Rs.126,87,71,000 Add: Provision for IT Rs.17,00,00,000 Provision for Deferred Tax Rs.32,23,26,776 Provision for Contingencies Rs.36,66,90,504 Expenditure incurred for Earning exempt income Rs. 1,74,18,095 Provision for Sundry Assets Rs. 5,14,55,640 Provision for FBT Rs. 20,00,000 Rs.219,86,62,015 Less: Dividend Exempt u/s.10(34) Rs. 31,76,35,828 Interest Exempt u/s.10(15) Rs. 3,07,26,081 Rs.34,83,61,909 --- --------------- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t, was of the view that the aforesaid order of the AO dated 18.3.2010 giving to the order of the CIT(A) dated 13.1.2010 was erroneous and prejudicial to the interest of the Revenue. The CIT issued a show cause notice dated 7.2.2011 proposing to revising the aforesaid order of the AO dated 18.3.2010. The reasons for issue of the show cause notice were given in annexure to the said notice, which reads as follows: In your case, return of income for the AY 2006-07 has been filed on 23.11.2006 declaring an income of NIL. The scrutiny assessment u/s.143(3) was completed on 31.01.2008 determining total income of Rs.589,84,16,890/- which was later rectified vide order dated 5.3.2010 allowing brought forward losses and re-determining the income ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... read as follows: 263. Revision of orders prejudicial to revenue.--(1 ) The Commissioner may call for and examine the record of any proceeding under this Act, and if he considers that any order passed therein by the Assessing Officer is erroneous in so far as it is prejudicial to the interests of the revenue, he may, after giving the assessee an opportunity of being heard and after making or causing to be made such inquiry as he deems necessary, pass such order thereon as the circumstances of the case justify, including an order enhancing or modifying the assessment, or cancelling the assessment and directing a fresh assessment. Explanation .--For the removal of doubts, it is hereby declared that, for the purposes of this sub-sect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t any time in the case of an order which has been passed in consequence of, or to give effect to, any finding or direction contained in an order of the Appellate Tribunal **National Tax Tribunal, the High Court or the Supreme Court. Explanation .--In computing the period of limitation for the purposes of sub-section (2), the time taken in giving an opportunity to the assessee to be re-heard under the proviso to section 129 and any period during which any proceeding under this section is stayed by an order or injunction of any court shall be excluded. 4. The order sought to be revised is the order dt.18.3.2010 giving effect to the order of the CIT(A) dt. 13.1.2010. As already stated the scope of such proceedings is restricted to the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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