Rectification power extends to correcting orders based on invalidity later cured by retrospective amendment.

A Tribunal's rectification power under section 22 of the U.P. Trade Tax Act, 1948 extends to correcting an order founded on an error of law where a levy earlier treated as ultra vires is later validated by a retrospective amendment. Once section 3AAAA was retrospectively upheld as valid, the Tribunal's earlier view that the levy was invalid ceased to be correct, and rectification was justified. The objection that the rectification application was time-barred was rejected because the retrospective amendment supplied the basis for correcting the erroneous order. The Tribunal was therefore competent to rectify its order, and the challenge failed.

---

---

Issues: Whether the Tribunal could rectify its earlier order under section 22 of the U.P. Trade Tax Act, 1948 after the levy of tax under section 3AAAA was subsequently upheld and the earlier view treating the provision as ultra vires stood displaced by retrospective amendment.

Analysis: The levy had earlier been set aside because section 3AAAA had been declared ultra vires, but the provision was later amended retrospectively and upheld as valid legislation. In that situation, the earlier order of the Tribunal proceeded on an error of law in treating the levy as invalid. The rectification power under section 22 was held to extend to correcting such a mistake. The objection based on the time period for making the rectification application was rejected in view of the principle that a valid retrospective amendment and the consequent validity of the levy justified rectification of the erroneous order.

Conclusion: The Tribunal was competent to rectify the order under section 22 of the U.P. Trade Tax Act, 1948, and the challenge to the rectification failed.

---