SUNIL KUMAR BAHETI,SURAT vs. PCIT (CENTRAL), SURAT

ITA 579/SRT/2025Status: DisposedITAT Surat17 February 2026AY 2021-22Bench: DR. B.R.R. KUMAR, VICE-PRESIDENT MS. SUCHITRA KAMBLE (Judicial Member)4 pages
AI SummaryAllowed

What did the Tribunal hold?

The Tribunal held that the Assessing Officer (AO) had conducted due enquiry regarding the cash investment and had accepted the assessee's explanation in the absence of corroborative evidence, making it a plausible view. Similarly, for house property income, the AO had considered the assessee's explanations. The Tribunal concluded that the PCIT's order was based on a mere change of opinion, which is impermissible under section 263.

What were the facts?

The assessee's return for AY 2021-22 was accepted under section 143(3). The Principal Commissioner of Income-Tax (PCIT) initiated revision proceedings under section 263, citing alleged unexplained cash investment and non-taxation of deemed rental income. The PCIT set aside the assessment order, directing a fresh assessment.

What were the issues?

Whether the revisionary order passed by the PCIT under section 263 was valid when the AO had conducted due enquiry and taken a plausible view, or if it was merely a change of opinion.

Which sections of the Income-tax Act were involved?

Section 143(3),Section 263,Section 142(1)

AI-generated summary — verify with the full judgment below

Cases cited in this judgment(1)Show list

Detected automatically from the text. Citations are also linked where they appear in the judgment. The count shows how many other judgments on BharatTax rely on the same authority.

Income Tax Appellate Tribunal, SURAT BENCH, SURAT

Before: DR. B.R.R. KUMAR, VICE-MS. SUCHITRA KAMBLE

For Appellant: Shri Ramesh Malpani, CA
For Respondent: Shri Mukesh Jain, CIT (DR)
Hearing: 22.01.2026Pronounced: 17.02.2026

PER DR. B.R.R. KUMAR, VICE-PRESIDENT:

-

This appeal filed by the assessee is directed against the order passed by the learned Principal Commissioner of Income-Tax (Central), Surat [herein-after referred to as “PCIT”] dated 31.03.2025, in exercise of revisionary powers under Section 263 of the Income-tax Act, 1961 [hereinafter referred to as “the Act”], for the Assessment Year (AY) 2021-22. 2. The assessee has raised the following grounds of appeal:

“1. That on the facts and in the circumstances of the case as well as in law, the order passed by ld. Principal Commissioner of Income Tax (Central), Surat (PCIT) u/s. 263 of the I. T. Act, 1961 ("the Act

The order continues below.

Read the full judgment

A free account opens 10 full judgments a month. Re-reading one you have already opened does not count again.

Create a free accountSign in

See plans and prices

The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.

More judgments on Section 263

All 13,616 judgments and leading authorities on Section 263 →

Recent GST High Court judgments

Search GST case law →