2016 (1) TMI 1452 - AT - Income Tax

Rectification u/s 154 - quash the assessment completed under section 143(3) r.w.s. 147 - HELD THAT - Against the order of the Tribunal 2011 (9) TMI 1206 - ITAT CHENNAI the Assessing Officer is yet to pass order afresh. In the meanwhile, the assessee has preferred the present appeal before the Tribunal by challenging the order passed under section 154. With regard to the same issue, the Tribunal has already passed order dated 09.09.2011 2011 (9) TMI 1206 - ITAT CHENNAI further adjudication by the Tribunal on the same issue does not arise and accordingly, the appeal filed by the assessee is not maintainable under the law. In view of the above facts, the appeal filed by the assessee is dismissed as not maintainable.

Summary

Issues:
Confirmation of order under section 154 of the Income Tax Act, 1961.

Analysis:
1. The appeal was filed against the order of the Commissioner of Income Tax (Appeals) for the assessment year 2002-03, specifically challenging the confirmation of the order passed under section 154 of the Income Tax Act.

2. The initial confusion arose when the assessee, originally filing as an Individual, was assessed as a Hindu Undivided Family (HUF) due to a typographical error in the assessment order. The rectification under section 154 was made to correct this mistake, not to change the status of the assessee.

3. In the first round of litigation, the assessee mistakenly filed an appeal as an Individual against the assessment completed for the HUF status. The Assessing Officer had not considered the return filed by the assessee in the status of an Individual, leading to discrepancies in the assessment process.

4. The Tribunal, in a previous order, directed the matter to be reconsidered by the Assessing Officer to determine the correct status of the assessee as HUF. However, the Assessing Officer had not yet passed a fresh order on this matter.

5. The current appeal challenged the order passed under section 154 of the Act, dated 26.07.2010, which converted the status of the assessee to HUF. The Tribunal deemed further adjudication unnecessary as the issue had already been addressed in a previous order, leading to the dismissal of the appeal.

6. Consequently, the appeal filed by the assessee was dismissed as not maintainable under the law, as the Tribunal had already provided directions on the status issue in a prior order.

In conclusion, the judgment primarily dealt with the correct determination of the assessee's status as an Individual or HUF for the assessment year 2002-03, highlighting the importance of accurate record-keeping and rectification of typographical errors to ensure fair assessment procedures under the Income Tax Act.