2019 (8) TMI 1840 - AT - Income Tax

Rectification of mistake - Period of limitation - Revenue contended that in the case of Mehul Lavjibhai Mehta 2018 (8) TMI 278 - GUJARAT HIGH COURT that the Department should submit appropriate rectification application before the ITAT and further contended that since similar issues/ground involved in this case therefore we should allow application of the Department - HELD THAT - We have seen record and heard both the parties since no directions have been given by the Hon ble High Court in the case of assessee therefore same are not applicable in the case of assessee. Section 254(2) says- The Appellate Tribunal may, at any time within six months from the end of the month in which the order was passed , with a view to rectifying any mistake apparent from the record, amend any order passed by it under sub-section (1), and shall make such amendment if the mistake is brought to its notice by the assessee or the Assessing Officer. Since Miscellaneous Application has been filed on behalf of the Department beyond the period of six months from the end of the month in which order was passed. Therefore, miscellaneous application is time barred and cannot be entertained. Moreover no directions have been given by the Hon ble High Court in this matter. However, we do not want to go into the merit of the case as already we have held that miscellaneous application is time barred. Miscellaneous Application filed on behalf of the Revenue is dismissed

Summary

Issues:
1. Application for recalling the order dated 08.06.2018 in IT(SS)A No. 676/Ahd/2010 and C.O. No. 295/Ahd/2010 for assessment year 2006-07.
2. Time limitation for filing a Miscellaneous Application under Section 254(2) of the Income Tax Act.

Analysis:
1. The Miscellaneous Application was filed by the Revenue seeking to recall the order dated 08.06.2018 in a specific case for the assessment year 2006-07. The Department argued that since similar issues were involved in another case, they should be allowed to submit a rectification application. However, the Tribunal noted that no directions had been given by the High Court in the case of the assessee, rendering the Department's argument inapplicable.

2. The Tribunal referred to Section 254(2) of the Income Tax Act, which allows the Appellate Tribunal to rectify any mistake apparent from the record within six months from the end of the month in which the order was passed. In this case, the Miscellaneous Application was filed beyond this six-month period, making it time-barred. Despite the lack of High Court directions in the matter, the Tribunal emphasized that the time limitation was a crucial factor, leading to the dismissal of the Miscellaneous Application.

3. The Tribunal highlighted that the Department failed to provide any contrary arguments when questioned about the time limitation issue. Consequently, the Tribunal concluded that the Miscellaneous Application filed by the Revenue was dismissed due to being time-barred. The order was pronounced in Open Court on 28-08-2019, emphasizing the finality of the decision in this matter.