2002 (11) TMI 12 - HC - Income Tax

High Court dismisses Revenue's appeal on section 80-I relief withdrawal under Income-tax Act

The High Court of Delhi dismissed the Revenue's appeal against the Income-tax Appellate Tribunal's order for the assessment year 1992-93. The issue was ... Mistake apparent on the record - a mistake apparent on the record within the meaning of section 154 of the Act must be an 'obvious' and 'patent' mistake and not something which can be established by a long drawn process of reasoning on points on which there may be conceivably two opinions – Therefore, a part of the relief granted to the respondent/assessee under section 80-I could not be withdrawn by taking recourse of section 154 The High Court of Delhi dismissed the Revenue's appeal against the Income-tax Appellate Tribunal's order regarding the assessment year 1992-93. The issue was whether relief under section 80-I of the Income-tax Act could be withdrawn using section 154. The Tribunal concluded that since the entitlement to deduction under section 80-I was debatable, it could not be considered a mistake under section 154. The appeal was dismissed based on the Supreme Court's interpretation that a mistake under section 154 must be obvious and not debatable.