आदेश/ORDER

PER : AMARJIT SINGH, ACCOUNTANT MEMBER:-

This assessee’s appeal for A.Y. 2013-14, arises from order of Pr. CIT-2, Ahmedabad dated 28-03-2018, in proceedings under section 263 of the Income Tax Act, 1961; in short “the Act”.

2. The fact in brief is that return of income declaring loss of Rs. -7,75,561/- was filed on 24^th Nov, 2014. The scrutiny assessment u/s. 143(3) of the Act finalized on 22^nd March, 2016 and total income was assessed at Rs. 6,97,550/- . Subsequently, the ld. Pr. CIT-2, Ahmedabad has issued notice u/s. 263 of the Act on 23^rd March , 2018 stating that assessment order u/s. 143(3) of the Act passed on 22^nd March, 2016 was erroneous and prejudicial to the interest of the revenue for the following reasons:-

“2.1 It is perused that you have claimed an expenditure titled Foreign Exchange Premium amounting to Rs. 98S9746/-. The AO has allowed the said claim without application of mind and without making any proper and due enquiries and verification in this regard.

2.2 An assessment order passed without application of mind and/or without making proper enquiries and verification of facts and the law on the subject makes such order erroneous and prejudicial to the int