- (1.) This appeal is directed against the judgment and order dated 5th October, 2005 passed by the Income Tax Appellate Tribunal, 'B' Bench, Kolkata pertaining to the assessment year 1995 -96.
(2.) The learned Tribunal allowed the appeal preferred by the assessee on the basis of the following reasoning: "After hearing the contested rival submissions from both the sides and perusing the case record, we find that both on facts and on law the assessee has a good case. Since, the legal aspect has already been discussed above, we are inclined to discuss the factual aspect in brief which are as follows: i) return filed on nil income on 29.11.95. ii) original assessment order u/s. 143(3) was passed on 27.3.98. iii) order u/s. 147 read with Sec. 143(3) was passed on 28.3.03. iv) order u/s. 154 was passed on 8.5.2003. v) notice u/s. 263 was issued on 8.3.2005. vi) reply was furnished by the assessee on 14.3.05. vii) order was passed u/s. 263 on 21st March, 2005. From the above chart itself it shows that the Revenue has made original assessment, reopening of the assessment, rectification and revision for the same assessment year and on the same issue. If this be allowed, there cannot be any finality to an assessment. So, apart from the legal consideration, with this factual consideration it has been deemed proper to set aside the 263 order passed by the CIT."
(3.) Aggrieved by the order of the learned Tribunal, the Revenue has come up in appeal. The following question of law was formulated at the time of admission of the appeal: "Whether on the facts and in the circumstances of the case, the order of the Income -Tax Appellate Tribunal cancelling the revision order passed by Commissioner of Income -Tax under Sec. 263 of the Income Tax Act, 1961, setting aside the reassessment order allowing deduction of gross dividend of Rs. 2,94,39,435/ - under Sec. 80M of the Income Tax Act, 1961, without deduction of the expenses relating thereto in terms of Sec. 80AA of the Act and as held by the Hon'ble Supreme Court, is non -speaking confused and erroneous -;