9911796707
TMI Blog1989 (8) TMI 61X X X X Extracts X X X X X X X X Extracts X X X X ..... cts and in the circumstances of the case, the Tribunal was right in law in holding that there was no mistake apparent from the record in the original orders passed by the Appellate Assistant Commissioner and consequently in cancelling the rectification orders ?" The matter arises out of the wealth-tax assessments for the assessment years 1967-68, 1968-69 and 1969-70 for which the valuation dates are August 16, 1966, August 16, 1967, and August 16, 1968, respectively. Assessments for the years 1967-68 and 1968-69 were originally completed on March 31, 1970, and the assessment for the year 1969-70 was completed on October 22, 1970. The property of the assessee was acquired by the Government in 1961 under the Land Acquisition Act and the com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... luded from the assessment for these three assessment years. The Appellate Assistant Commissioner rectified the assessment under section 35(8) of the Wealth-tax Act directing exclusion of the principal amount of additional compensation as well. The Revenue thereafter filed appeals before the Tribunal. It was contended on behalf of the assessee that such appeals by the Revenue are not maintainable since no express provision is made for the filing of appeals against the orders passed under section 35(8). This preliminary objection raised by the assessee regarding the maintainability of the appeals was rejected by the Tribunal and in so doing, the Tribunal relied upon the decision in CWT V. B. M. Ramalingam [1983] 140 ITR 219 (Mad). The Tribuna ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed the appellate order. In rectifying the appellate order, he also exercised the power of the appellate authority under section 24 (23?) of the Act. The rectified order is the order coming under section 24 (23?) of the Act. The rectification of an error is not An independent exercise of power, but it only impinges on the exercise of the appellate jurisdiction and gets fused into the original appellate order. Dealing with the maintainability of appeal, the Division Bench of the Madras High Court in CWT v. B. M. Ramalingam [1983] 140 ITR 219 held that (at page 226): "Section 35 provides, inter alia, that an Appellate Assistant Commissioner may amend any order passed by him under section 23 with a view to rectifying any mistake apparent from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oceedings for the assessment." The Supreme Court also observed that a composite order redetermining the tax payable by the firms, directing refund and apportioning the income of the firms between the partners can be held to be nothing other than an order made in proceedings for assessment of the firms. Therefore, against the order passed by the Appellate Assistant Commissioner rectifying his order by directing deletion of the additional compensation also from the computation of wealth, an appeal will lie to the Tribunal. The next question to be considered is whether there was a mistake in the original order passed by the Appellate Assistant Commissioner. In the original order, the Appellate Assistant Commissioner deleted only the addition ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... District Judge or by the High Court represents the difference between the true value of the land on the one hand and the actual amount awarded on the other which fell short of the true value. The owner of the land is entitled to be paid the true value of the land on the date of taking over of possession. Since, however, the true value is usually determined only after it is computed through a multi-tiered process passing through different levels of hierarchical judicial structure, by the very nature of things it takes some time before the true value can be finally determined. The fact that it is determined later does not mean that the right to the amount comes into existence at a later date." Therefore, the additional compensation in the c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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