Allowing the appeal of the assesse the Tribunal held that the assessing officer has applied his mind at the time of passing the assessment order allowing the depreciation claim. The AO’s view was a legally permissible view. Hence, the original order cannot be liable to be visited with a revisionary order by the PCIT, having a different opinion. Accordingly the revision order was quashed. ( Malabar Industrial Co. Ltd v. CIT [2000] 243 ITR 83 (SC), State Bank of India v. Asst. CIT (WP No. 271 2018 dt 15-6-2018) ( ITAT No. 3495/Mum/2018 AY .2013-14)
Marie Gold Realtors Pvt. Ltd v. PCIT (Mum) (Trib) (UR)
S. 263: Commissioner – Revision of orders prejudicial to revenue – Depreciation on tenancy rights – Allowed in original assessment – Legally permissible view – Revision and disallowance by PCIT – Mere change in opinion – Revision is bad in law. [S. 32(1)(ii)]