9911796707
TMI Blog2014 (10) TMI 73X X X X Extracts X X X X X X X X Extracts X X X X ..... led by the appellants for the corresponding years, the cost of construction that fell to their share was shown as Rs. 25,50,853/- each. It is stated that a report of valuer was enclosed to the returns. The assessing officer accepted the facts and figures and completed the assessment. On 14-03-1996, the Income Tax Department issued notices to the appellants stating that the Superintending Engineer, Valuation Cell found that the cost of the construction was around Rs. 84,76,000/- and required them to show cause as to why the difference between the cost of construction admitted in the assessment and the value determined by the Superintendent be not treated as unexplained investment under Section 69B of the Act. Reply was filed by the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... naranjan, learned counsel for the appellants submits that there was a clear error apparent on the face of the record and the Tribunal ought to have exercised its jurisdiction under Section 254(2) of the Act. According to the learned counsel, the very reopening of the assessments were without any basis since the respondent failed even to mention as to what constituted the reason to believe under Section 147 of the Act. He contends that the ratio laid down by various Courts in this behalf was not taken note of by the Tribunal and even after its attention is invited to the same, the Tribunal did not rectify its orders. Sri J.V. Prasad, learned counsel for the respondent, on the other hand, submits that the very fact that the assessments were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sment was urged. All the same, that ground did not weigh with the appellate Commissioner. The reason appears to be that the reopening was on the basis of the valuation of the godown by the Superintending Engineer. Accordingly, notices were issued to the appellants duly pointing out the same. Section 148 of the Act has been interpreted by the Courts in such a way as to keep the power of the assessing authority intact, as long as there existed some basis. If the basis as such exists, the exercise thereof becomes non-justiciable. It is only when there is a total absence of any reason or basis whatever, that an attempt to invoke power under Section 148 can be found fault. Adequacy of the material that was available with the assessing officer c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... From a perusal of it, it becomes clear that the power can be exercised to rectify only a mistake which has occurred in the record and not for other purposes. The expression error apparent on the face of the record occurs even in administrative adjudications. An error can be treated as the one apparent on the face of the record, if only it can be discerned just on perusal of the connected record, without the aid of any external material. To put it conversely, if the error can be demonstrated only by taking recourse to the other material or arguments, it ceases to be the one, apparent from record. In Assistant Commissioner of Income Tax v. Saurashtra Kutch Stock Exchange Ltd., (2008) 305 ITR 227 (SC) the Supreme Court observed: In our jud ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring before the Tribunal should not suffer on account of a mistake committed by the Tribunal. When prejudice results from an order attributable to the Tribunals mistake, error or omission, it is the duty of the Tribunal to set it right and it has nothing to do with the concept of the inherent power to review. The precedents can be multiplied on this issue. Reverting to the facts of the case, the appellants are not able to point out as to what exactly the error in the orders passed by the Tribunal in the appeals, which is apparent from the record. The thrust of their argument is that the Tribunal did not address the question pertaining to the very basis for reopening the assessment. It is too well known that the Court or a Tribunal is deem ..... X X X X Extracts X X X X X X X X Extracts X X X X
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