Rectification powers cannot reopen disputed set-off issues or replace an earlier merits-based tax order.

Rectification under section 45(1)(i) of the Madhya Pradesh General Sales Tax Act was confined to mistakes apparent from the record and could not be used to revisit the merits of an earlier revision order. A change of view on the rate of set-off, where the issue was legally disputed and supported by rival authorities, was not an obvious clerical or record error. The Additional Commissioner therefore lacked jurisdiction to withdraw the earlier set-off order and substitute a different view. The rectification order was quashed.

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Issues: Whether the Additional Commissioner had jurisdiction under section 45(1)(i) of the Madhya Pradesh General Sales Tax Act, 1958 to withdraw the earlier order granting set-off at 2.5% and substitute it with a different view on the rate of set-off.

Analysis: The power under section 45 was confined to rectification of a mistake apparent from the record. A change of view on the allowability or rate of set-off, based on rival decisions and a disputed point of law, did not amount to an apparent mistake. The impugned order did not correct a clerical or obvious record error but reopened the merits of the earlier revision order and in substance amounted to a rehearing, which was impermissible. The existence of the appellate remedy under section 39(5) also showed that the authority could not use section 45 as a substitute for revisional or appellate scrutiny on merits.

Conclusion: The impugned rectification order was without jurisdiction and could not be sustained; the assessee succeeded on this issue.

Final Conclusion: The petition was allowed and the rectification order was quashed.

Ratio Decidendi: Rectification powers are limited to correcting mistakes apparent from the record and cannot be invoked to revise a decision on a disputed legal issue or to reopen the merits of an earlier order.

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