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TMI Blog2025 (3) TMI 462X X X X Extracts X X X X X X X X Extracts X X X X ..... ion made in the hands of the assessee was originally deleted by the CIT(A) except for the commission on estimate basis of 5% which was sustained by the Ld. CIT(A) and the Revenue did not prefer any appeal. This order of the Ld. CIT(Appeals) was challenged by the Assessee before the Tribunal and the Tribunal allowed the appeals of the assessee deleting even the commission expenses which was sustained by the CIT(Appeals). Meanwhile the Revenue filed miscellaneous application before the Ld. CIT(Appeals) stating that the Tribunal deleted the substantive addition made in the hands of Orient Craft Limited and, therefore, the protective addition made in the hands of the assessee be revised. CIT(Appeals) based on the rectification application fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tective addition, more so when there was no mistake apparent from record and when such interpretation was not possible on facts and in law. 3. That having regard to the facts and circumstances of the case, the Ld. CIT(A) has erred in law and on facts in not rejecting the rectification petition filed by Ld. AO, more so when such application was not maintainable in law and the order passed by Ld. CIT(A) dated 23.07.2019 was already merged into the order of Hon'ble ITAT dated 14.07.2022 and was thus having no jurisdiction to pass the impugned order. 4. That having regard to the facts and circumstances of the case, the action of Ld. CIT(A) has erred in law and on facts in passing the impugned order u/s 154 is bad inter-alia for the reason t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(Appeals) purportedly rectifying and reviving the addition made in the hands of the assessee is beyond jurisdiction and beyond the scope of provision of section 154 and is liable to be quashed. 3. Ld. Counsel for the assessee further made his submission as under: - "Brief background of the case is that the assessee had undertaken job work for M/s Orient Craft Ltd. and assessment was framed in case of M/s Orient Craft Ltd., the receipt of services towards job work charges performed by the assessee, and Ld. AO disallowed the said job work charges and made addition on substantive basis in case of Orient Craft Ltd. Further, corresponding addition was made in the case of the assessee on protective basis. The disallowance in the case of Or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d by the assessee herein. Consequently, plea of the Revenue for restoration of the matter to the Assessing Officer for examination of corresponding expenses does not emanate from the assessment order and therefore cannot be entertained. In the result, all the three appeals of the assessee in ITA No. 7654, 7655, 7656/Del/2019 are allowed." [Emphasis added]" Subsequently a miscellaneous application in assessee's case was filed by the Revenue before Hon'ble Tribunal and Hon'ble Tribunal dismissed the said application inter-alia holding that there is no apparent error and the copy of the said order is enclosed at PB 162-167. It is pertinent to submit that the rectification application considered by Ld. CIT(A) in impugned order is alleging ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... scope of provision of section 154 and is liable to be quashed and may please be so held." 4. On the other hand, the Ld. DR strongly supported the orders of the authorities below. 5. Heard rival submissions, perused the orders of the authorities below. We find considerable force in the submissions of the Ld. Counsel for the assessee that the order passed by the Ld. CIT(Appeals) u/s 154 rectifying his order and reviving the addition made in the hands of the assessee is beyond jurisdiction and beyond the scope of provision of section 154 of the Act. It is observed that in this case the rendering of services on job work basis by M/s Orient Craft Limited was held to be genuine and the addition made substantively in the case of M/s Orient Craft ..... X X X X Extracts X X X X X X X X Extracts X X X X
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