2017 (3) TMI 1527 - HC - Income Tax

Rectification of mistake - M.As again which are on the same set of facts - Held that - Second rectification application on the same grounds on which earlier application were made shall not be maintainable. See CIT. Versus Smt. Vasantben H. Sheth 2014 (8) TMI 487 - GUJARAT HIGH COURT

Summary

Issues:
1. Common question of law and facts arising in both petitions with respect to the same assessee and different assessment orders.
2. Legality of rejecting the second rectification applications by the Tribunal.
3. Applicability of the decision in Commissioner of Income-Tax v. Smt. Vasantben H. Sheth to the present case.

Analysis:

1. The High Court dealt with two writ petitions concerning the same assessee but different assessment years. The Revenue challenged the common order passed by the Income Tax Appellate Tribunal (ITAT) for the assessment years 2006-2007 and 2007-2008. The Tribunal had dismissed the Revenue's applications seeking rectification of its earlier orders.

2. The crux of the matter revolved around the Tribunal's rejection of the second rectification applications by the Revenue. The Tribunal had observed that the grounds in the subsequent applications were the same as in the earlier ones, which had already been dismissed and attained finality. The key issue was whether the Tribunal was justified in rejecting the second rectification applications on the same set of facts.

3. The High Court relied on the decision in Commissioner of Income-Tax v. Smt. Vasantben H. Sheth, where it was held that a second rectification application on the same grounds as the earlier one shall not be maintainable. The Court referred to similar decisions from other High Courts to support its reasoning. It emphasized that once the first rectification application was rejected, the second application on the same issue was not maintainable. Therefore, the Tribunal's decision to reject the second rectification applications was upheld.

In conclusion, the High Court dismissed the petitions, stating that the Tribunal did not err in rejecting the second rectification applications by the Revenue. The Court found no merit in the petitions based on the precedent set by previous decisions and upheld the Tribunal's decision.