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TMI Blog2023 (3) TMI 1545X X X X Extracts X X X X X X X X Extracts X X X X ..... appeal on the grounds raised in Appeal-Memo. 2. Heard the learned Representatives of both sides at length and case records perused. 3. The registry has informed that the present appeal is filed after a delay of 6 days and therefore time-barred. Ld. AR prayed that the delay has occurred due to Covid-19 Pandemic. Ld. AR further placed reliance on the order of Hon'ble Supreme Court in Suo Motu Writ Petition (C) No. 3 of 2020 read with Misc. Applications, by which suo motu extension of the limitation-period for filing of appeals w.e.f. 15.03.2020 under all laws has been granted and hence there is no delay in fact. We confronted Ld. DR who agreed to the submission of Ld. AR. In view of this, the appeal is proceeded with for hearing, there bei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s-cum-prejudicial to the interest of revenue if the same had been passed without inquiries or verification which should have been made: "Explanation 2 - "For the purpose of this section, it is hereby declared that an order passed by the Assessing Officer shall be deemed to be erroneous in so far as it is prejudicial to the interest of revenue, if in the opinion of the Principal Commissioner or Commissioner - (a) The order is passed without making inquiries or verification which should have been made; (b) The order is passed allowing any relief without inquiring into the claim; (c) .... (d) ..." 7. Finally, the Ld. PCIT concluded that there was a complete lack of enquiry on the part of AO; therefore the assessment-order is er ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the revision-action has triggered with the lower-authorities sending a proposal to Ld. PCIT and then the later passing the order u/s 263 on the basis of such a proposal; therefore it is a clear-cut case of jurisdiction-deficit resulting into vitiating the impugned order. Ld. AR submitted that the present case is squarely covered by decision of Hon'ble ITAT, Pune Bench in the case of Alfa Laval Lund AB Vs. CIT(IT/TP) Pune, ITA No. 1287/Pun/2017 order dated 02.11.2021 wherein, on identical facts, the revision was held to be illegal and quashed. (ii) Secondly, Ld. AR submits that out of five items of disallowances alleged by Ld. PCIT in the show-cause notice, as many as four items have been falsely mentioned. Ld. AR submits that the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the revision-proceeding conducted in such a manner is not in accordance with the law of section 263 and deserves to be quashed. 12. Per contra, Ld. DR placed heavily reliance upon the action of Ld. PCIT. 13. We have considered rival submissions of both sides and perused the case records in the light of provision of section 263 and the judicial decision placed before us. After a careful consideration, we find that in the present case, the revision-action had been taken by Ld. PCIT on the basis of a proposal mooted by lower-authorities and not on the basis of his own examination and consideration of the record. Therefore, the present case is directly governed by decision of ITAT, Pune Bench (supra) in which revision action in such a m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nue. The process of revision u/s 263 of the Act initiates only when the CIT calls for and examines the record of any proceeding under this Act and considers that any order passed by the AO is erroneous and prejudicial to the interests of the revenue. The twin conditions of - (i) the CIT calling for and examining the record; succeeded by (ii) his considering the assessment order as erroneous etc. - are sine qua non for the exercise of power under this section. The use of the word `and' between the expression `call for and examine the record ....‟ and the expression `if he considers that any order ... is erroneous ...‟ abundantly demonstrates that both these conditions must be cumulatively fulfilled by the CIT and in the same ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in it to the detriment of the Revenue, he has ample power to either reassess the earlier assessment in terms of section 147 or carry out rectification u/s 154 of the Act. He can‟t usurp the power of the CIT and recommend a revision. No overlapping of powers of the authorities under the Act can be permitted. As the revision proceedings in this case have triggered with the AO sending a proposal to the ld. CIT and then the latter passing the order u/s 263 of the Act on the basis of such a proposal, we hold that it became a case of jurisdiction deficit resulting into vitiating the impugned order. Without going into the merits of the case, we quash the impugned order on this legal issue itself. 6. In the result, the appeal is allowed." ..... X X X X Extracts X X X X X X X X Extracts X X X X
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