2022 (9) TMI 1417 - AT - Income Tax

Rectification of mistake u/s 254 - time limit for disposal of Misc. application - Period of limitation - HELD THAT - The provisions of sub section (2) of section 254 stipulates the time limit for disposal of Misc. application filed at any time within 6 months from the end of the month in which the order was passed by the Tribunal under section 254(1) Tribunal had passed the order under section 254(1) of the Act on 24.01.2018 meaning thereby any Misc. application filed under section 254(2) of the Act with a view to rectify any mistake apparent from record is to be disposed of at any time within 6 months from the end of the month in which the order was passed i.e. before 31.07.2018. In the case of the assessee the Misc. applications were filed on 24th September, 2018 which is beyond the period of 6 months for disposal of the Misc. applications set out in the provisions of section 254(2) meaning thereby the Misc. applications should have been filed before 31st July, 2018. The assessee filed petition requesting for condonation of delay in filing Misc. applications. Nowhere in the statute provides for condonation of delay in filing Misc. applications before the Tribunal under section 254(2) of the Act . Condonation of delay in filing Misc. applications by the Tribunal is beyond the powers of the Tribunal in the absence of any specific provision in the statute. In the circumstances the Misc. applications filed by the assessee are liable to be rejected. Decided against assessee.

Summary

Issues:
Recalling the order of the consolidated order of the Tribunal in ITA. Nos. 5602 and 5603/Del/2016 dated 24.01.2018 for assessment years 2011-12 and 2012-13.

Analysis:
The assessee filed Misc. applications seeking to recall the Tribunal's order dismissing the appeals for non-prosecution on 24.01.2018. The counsel for the assessee argued that the hearing notice for the date was misplaced and not received by the concerned person, emphasizing that the non-appearance was unintentional, especially as the assessee is a Government of India enterprise. Therefore, a request was made for the appeals to be recalled.

Upon reviewing the submissions and records, it was noted that the Misc. applications were filed on 24.09.2018. The statutory provision under section 254(2) mandates the disposal of Misc. applications within 6 months from the end of the month in which the order was passed by the Tribunal under section 254(1) of the Act. As the Tribunal had passed the order on 24.01.2018, any Misc. application filed under section 254(2) was required to be disposed of before 31.07.2018. The assessee's applications were filed on 24th September 2018, beyond the stipulated 6-month period. Although the assessee sought condonation of the delay, the statute does not provide for such condonation in filing Misc. applications under section 254(2). Consequently, the Tribunal held that it lacked the authority to condone the delay, leading to the dismissal of the Misc. applications.

In conclusion, the Tribunal dismissed the Miscellaneous applications filed by the assessee, as they were deemed to be beyond the permissible time frame for disposal under section 254(2) of the Act, and no provision existed for condonation of the delay in filing such applications.