A foreign salary credited to an NRE account in India does not automatically become taxable in the country. The Income Tax Appellate Tribunal (ITAT), Ahmedabad, reaffirmed this while setting aside revision proceedings initiated against an NRI whose foreign salary had been claimed as exempt. The Tribunal also made it clear that merely because tax was deducted using an Indian TAN does not by itself decide whether the income is taxable in India. More importantly, it held that the tax department cannot invoke revisionary powers under Section 263 simply because it has a different view if the Assessing Officer (AO) had already carried out detailed enquiries before completing the assessment.