9911796707
TMI Blog2018 (3) TMI 966X X X X Extracts X X X X X X X X Extracts X X X X ..... ion 245D(6B). In the present case, the minority view, in fact, has upheld the review of order dated 27th June, 2016 passed under Section 245 D(4) of the Act by the order dated 27th July, 2016. This even without considering the scope of an application filed under Section 245D(6B). If the view taken by the minority member of the Commission is accepted, we fear, that then there would be no finality reached to an order passed by the Commission under Section 245D(4). This for the reason that application for rectification would be made under Section 245D(6B) to correct a final order passed under Section 245D(4) of the Act even though it is outside the scope of rectification. This would defeat the entire object and purpose of Chapter XIXA of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... espondent No.2 Assessee, seeking partial re call the earlier order dated 25th July, 2016 passed under Section 245 D(6B) of the Act. This on the ground that the order dated 25th July, 2016 on the principal issue (not a typographical error) amounted to a Review of the order dated 27th June, 2016 passed under Section 245D(4) of the Act. The impugned order dated 2nd December, 2016 of the Commission is a split verdict and the application was allowed by a majority of 2:1 of the members of the Commission. 2. Briefly, the facts leading to this Petition, are that the Petitioner, had for Assessment Year 2013 14 alongwith other Assessment Years had filed an application for settlement under Section 245C(1) of the Act before the Commission. In its ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he revised return of income under Section 139(5) of the Act. 4. This led the Respondent Assessee to file another application on 24th August, 2016 under Section 245D(6B) of the Act, seeking to correct the figures of returned income as modified in the final order dated 27th June, 2016 in view of suo motu rectification by order dated 25th July, 2016. Thus, seeking the restoration of the earlier figures at ₹ 12.23 Crores as filed under Section 139(5) of the Act instead of ₹ 21.90 Crores as filed under Section 139(1) of the Act in the final order dated 27th June, 2016 under Section 245D(4) of the Act. 5. The Commission after hearing the parties, allowed the application dated 24th August, 2016. This, by a majority of the members ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6. We note that the basic issue arising before the Tribunal was essentially of jurisdiction i.e. the scope and ambit of an rectification application under Section 245D(6B) of the Act. The majority view addressed the issue and found that the earlier order dated 25th July, 2016 to the extent it suo motu rectified the order dated 27th June, 2016 by substituting the disclosed income as mentioned in the original return filed under Section 139(1) of the Act instead of the income mentioned in the revised return filed under Section 139(5) of the Act, was bad. Moreover, it was also passed without hearing the parties in breach of the second proviso to Section 245D(6B) of the Act. Therefore, to do justice between the parties, it withdraw/rectified in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) of the Act even though it is outside the scope of rectification. This would defeat the entire object and purpose of Chapter XIX A of the Act viz: expeditious settlement of dispute between the assessee and State so as to reduce litigation and collect taxes at the earliest. 8. However, we must make it clear that in case, any party is aggrieved by an order passed under Section 245D(4) of the Act, and the same is bad because it is contrary to the Act or in breach of principal of natural justice or suffer from a flaw in the decision making process, only then it is open to the party concerned to challenge the same before the High Court under Article 226 of the Constitution of India ( see Jyotendrasinhji v/s. S. I. Tripathi 201 ITR 611 ). H ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
