2009 (3) TMI 472

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....or the purpose of this appeal are as under: 3. The respondent-assessee is being assessed in the status of a company and for the assessment year 1994-95, the assessee filed a return of income. An order came to be passed under section 143(3) of the Act on September 25, 1996. After passing the assessment order, the Assessing Officer initiated rectification proceedings under section 154 of the Act and he found that the claim of Rs. 93,14,820 as deduction under section 80-IA being 30 per cent. on Rs. 3,10,49,400 included a sum of Rs.97,61,594 being the export incentive received by the company. It is the contention of the Revenue that this incentive is only under a scheme by the Central Government to encourage the exports and it is not an income....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....atable issue when admittedly the assessee was not entitled to claim the deduction under section 80-IA of the Income- tax Act (hereinafter referred to as 'the Act') in respect of a sum of Rs.97,61,594 being the export incentive, i.e., the duty drawback received by the assessee from the Central Government to encourage the exports, which could not be treated as the profits of the assessee in order to satisfy the eligibility criterian under section 80-lA of the Act? (2) Whether the appellate authorities failed to record a finding that export incentives, i.e., duty drawback received by the assessee did not amount to profit earned by the assessee which could be treated as an eligible deduction under section 80-IA of the Act before holding that i....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ection 143(3) of the Act and it is clearly a case of change of opinion and that there is nothing as such to say that there is a mistake apparent on the record in the order of assessment and, therefore, the provisions of section 154 of the Act cannot be invoked for rectification. The provisions of section 154 of the Act read as under: "With a view to rectifying any mistake apparent from the record an income-tax authority referred to in section 116 may: (a) amend any order passed by it under the provisions of this Act; (b) amend any intimation or deemed intimation under sub-section (1) of section 143." 8. So, as could be seen from the provision, it is only in case if a mistake has crept into the order, which is apparent from the record th....