Held that the assessee had shown closing stock. Thus during the assessment proceeding the Assessing Officer was aware that there was closing stock of ready flats and decided not to tax on housing property. In the assessment year 2017-18, there were two views on taxability of these ready flats shown as stock-in-trade. When there were two possible legal views of taxability qua unsold flat shown as closing stock and the Assessing Officer had adopted one of them and not taxed it under housing property, the assessment order was not erroneous qua unsold flats shown as stock.

Held that, the assessee had tax deducted at source and the details were filed before the Assessing Officer during the assessment proceedings. Therefore, the assessment order was not erroneous qua tax deducted at source on payment made to S. The order under section 263 qua the issue of tax deducted at source is set aside. Held that, the Assessing Officer had failed to carry out necessary inquiry and had not called for any details regarding the interest on tax deducted at source. Hence, the assessment order was erroneous and prejudicial to the interests of the Revenue qua the issue of interest on tax deducted at source. Accordingly, the order under section 263 was upheld qua the issue of interest on tax deducted at source.(AY.2017-18)