Rectification for omitted estate duty exemption where recorded facts supported relief and the statutory claim was overlooked.

An omitted statutory exemption under section 33(1)(n) of the Estate Duty Act, 1953, can constitute a mistake apparent from the record when the relevant facts are already on assessment record but the relief was not claimed in the return. The authority treated the omission as failure to apply a mandatory provision rather than a discretionary matter, and held that section 61 rectification could be used to correct such an error. Where two interpretations are possible, the view favourable to the taxpayer was preferred, and the assessing authority was required to reconsider the exemption claim on the recorded facts and, if needed, call for further material before refusing relief.

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Issues: Whether non-allowance of the statutory exemption under section 33(1)(n) of the Estate Duty Act, 1953, though not claimed in the return, constituted a mistake apparent from the record rectifiable under section 61 of that Act.

Analysis: The deceased's half share in the residential house was already on record and accepted in the assessment, but the exemption was omitted because no express claim had been made in the return. The omission was treated as an overlook of a mandatory statutory provision rather than a matter of discretion. A rectification provision was held capable of correcting such an apparent error, and where two views were possible the one favourable to the citizen was preferred. The assessment authority was therefore required to examine the exemption claim on the recorded facts and, if necessary, obtain further material before refusing relief.

Conclusion: The omission to consider section 33(1)(n) was a rectifiable mistake under section 61, and the matter had to be reconsidered by the assessing authority.

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