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TMI Blog2023 (4) TMI 66X X X X Extracts X X X X X X X X Extracts X X X X ..... purpose of exercising his revisional jurisdiction to look into the whole evidence. The Court explained the expression record as used in Section 263 of the Act to be comprehensive enough to include the whole record of evidence on which the original assessment order was based. As held that where any proceeding is initiated in the course of assessment proceedings, having a relevant and material bearing on the assessment to be made and the result of such proceedings was not available with the ITO before the completion of the assessment but the result came subsequently, the revising authority (PCIT) is entitled to look into the search material as it forms part of the assessment records of the particular assessment year. The finding rende ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pril, 2022 passed by the Income Tax Appellate Tribunal, B Bench, Kolkata (the Tribunal) in ITA No.205/Kol/2021 for the assessment year 2009-10. The revenue has raised the following substantial questions of law for consideration: (i) Whether the Tribunal has erred in quashing the revisionary order under Section 263 passed by the Learned Pr. Commissioner of Income Tax as bad in law thereby deleting the addition made on the basis of unexplained cash credit under Section 68 of the Act ? (ii) Whether the Learned Tribunal has erred in ignoring the discussion and findings rendered by the Principal Commissioner of Income Tax in his order under Section 263 of the Act ? We have heard Mr. Tilak Mitra, learned standing counsel for t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ght of the order passed under Section 154A dated 23rd March, 2015, the assumption of jurisdiction by the PCIT under Section 263 of the Act was unsustainable. Though the Tribunal rejected the said miscellaneous application by order dated 22nd January, 2020, there was a direction issued to the Commissioner of Income Tax to consider the argument which was placed by the assessee before the Tribunal in the miscellaneous application before passing the order under Section 263. Thus, the Commissioner was required to consider the effect of the order passed under Section 153A. However, this was ignored by the Commissioner by stating that it is irrelevant and the Commissioner proceeded to pass the order under Section 263 of the Act dated 30th March, 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... include and shall be deemed always to have been included all records relating to any proceedings under this Act available at the time of examination by the Ld. Pr. CIT or Commissioner. In the light of the aforesaid given in the statute, the Ld. Pr. CIT while calling for and examining the record of any proceeding under this Act was duty bound to look into the records available at the time of examination of the Ld. Pr. CIT while exercising his revisional jurisdiction after the direction of the Tribunal dated 01.10.2019 read with order dated 22.01.2020 had passed the impugned order dated 30.3.2021 wherein he has taken into consideration the order passed by the Tribunal dated 01.10.2019 and 22.01.2020. Before the Ld. Pr. CIT the assessee had br ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... etails of the twenty five (25) SHARE subscribers, the AO had issued notice u/s. 133(6) of the Act to all the shareholders in order to examine their respective identity, creditworthiness and genuineness which is available from page nos.72 to 94 of the paper book. It is also noted that all the share subscribers have directly replied to the Assessing Officer (Central Circle) pursuant to the notice u/s. 133(6) of the Act which are available from pages 95 to 119 of the paper book. Thus it is seen that the Assessing Officer had in fact enquired about the nature and source of the share subscribers which all had contributed tot he share capital of the assessee. It is also noted that the Assessing Officer while passing the order dated 23.03.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the interest of the revenue, then only he may interfere by enhancing/modifying/cancelling the assessment order . In our considered view, the finding rendered by the learned Tribunal was perfectly justified as in our opinion the PCIT could not have ignored the order passed under Section 153A of the Act dated 23rd March, 2015 as being immaterial and irrelevant. The Tribunal not stopping with that has also examined as to the exercise undertaken by the Assessing Officer while completing the assessment under Section 153A of the Act and found that the entire records were examined and no adverse inference was drawn against the assessee. Thus, in our view the Tribunal rightly granted relief to the assessee and the order does not call fo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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