2022 (1) TMI 1225 - AT - Income Tax

Rectification of mistake u/s 154 - recalling the order of the Tribunal to dispose off additional grounds of appeal of the assessee for the A.Y.2009-10 - HELD THAT - Tribunal inadvertently omitted to dispose off the additional grounds of appeal in assessee s appeal. It is observed from the order of the Tribunal that there is a mistake apparent on record in not disposing off the above additional grounds of appeal of the assessee - To rectify the mistake apparent on record we recall the appeal of the assessee in 2020 (11) TMI 809 - ITAT MUMBAI for the limited purpose of disposing off the above additional grounds of appeal of the assessee for the A.Y. 2009-10.

Summary

Issues involved:
Failure to adjudicate additional grounds of appeal in the original order.

Analysis:
The judgment pertains to a miscellaneous application filed by the assessee, highlighting that certain additional grounds of appeal were not adjudicated in the original order. The assessee contended that similar additional grounds were raised for another assessment year and were duly considered, thus requesting the same treatment for the current appeal. The Department did not object to recalling the order to address the additional grounds. The Tribunal acknowledged the oversight in not disposing of the specific additional grounds related to the computation of disallowance under section 14A and Rule 8D while computing 'book profit' under section 115JB. Recognizing the mistake apparent on record, the Tribunal decided to recall the appeal for the limited purpose of addressing the omitted additional grounds for the relevant assessment year. Consequently, the miscellaneous application filed by the assessee was allowed for the specified purpose.

This judgment underscores the importance of ensuring all grounds of appeal are adequately addressed in the original order to avoid oversights and subsequent applications for rectification. The Tribunal's decision to recall the appeal signifies a corrective measure to rectify the mistake and provide a fair opportunity for the assessee to present the omitted grounds for consideration. The acknowledgment of the error and subsequent action taken by the Tribunal demonstrate adherence to procedural fairness and the principles of natural justice in the adjudicatory process. The allowance of the miscellaneous application within the specified scope reflects a balanced approach to rectifying errors while maintaining the integrity of the appellate proceedings. The pronouncement of the order in accordance with the relevant ITAT Rules further emphasizes the procedural regularity followed in addressing the issue raised by the assessee.