Sec. 263 of Income Tax Act, 1961—Revision—The grounds of appeal are that the Learned CIT (Exemption), New Delhi, has erred both in law and on facts in not accepting the fact that the all due enquiries were made by the AO during the course of the assessment proceedings and has grossly erred in merely substituting his own views without showing any error in the said Order and/or himself making any enquiries and investigations.
Held that:- In view of what has been discussed above, we are of the considered view that when it is not a case of no enquiry rather thorough enquiry has been conducted by the AO by issuing a detailed questionnaire and after examining reply and documents furnished by the assessee framed assessment u/s 143 (3) of the Act, the ld. CIT has invoked the provisions contained u/s 263 of the Act on the basis of conjectures and surmises without conducting any such enquiry himself so as to reach the conclusion that the assessment order is erroneous and prejudicial to the interest of the Revenue rather set aside the matter to AO for further enquiry which is not permissible under law, hence order passed by the ld. CIT is set aside by allowing the appeal filed by the assessee.SETH MADANLAL PALRIWALA FOUNDATION vs. CIT.[2020] 78 ITR (TRIB) 436 (ITAT-DELHI)