TaxTMI 
TaxTMI 
2010 (5) TMI 662
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.... the same with regard to all these years. As a matter of convenience, therefore, we take up all these three miscellaneous applications together for disposal by way of this common order. 2. The mistakes, as pointed out by the applicant, relate to the following observations made by the Tribunal in the impugned order :-- "In response to our putting the proposition that the assessee has sold such horses, foals or fillies which have no good potential in racing activities, and , therefore, the business activity of the assessee could not be said to breeding of horses, learned counsel emphatically submitted that breeding of horses is one of the business activity of the assessee, but he could not point out any instance in which the assessee has so....
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.... papers/documents submitted" and that "based on the above misappreciation of facts that no racing horses have been sold and further that only racing discards have been sold, the Hon'ble Tribunal came to the conclusion that the assessee was engaged in the business activity of owning and maintaining the race horses and consequently applied the provisions of section 74A(3) of the Income-tax Act to the facts of this case". It is submitted that the age of foals or fillies sold was hardly 2 to 3 years which is not sale of racing discards but of foals and fillies which were ready to participate in horse races. We are thus urged to recall the order and restore the appeal for fresh adjudication. Reliance is placed on the judgment of Hon'ble Supreme ....
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....al in the racecourse. We were of the view that in case someone's business is breeding horses for commercial gains, it would make commercial sense to sell horses with good race potential as well, and since there was no evidence to indicate that, we inferred that it is not the predominant activity of the assessee to breed the horses but to own and maintain the race horses. At this stage, we are not concerned, nor are we allowed to be concerned, whether this finding is free from doubt or not or whether the conclusion so arrived at was capable of another view being taken at or not; all that we have to see is that whether this finding is vitiated by a mistake apparent on record. 7. The case of the assessee is that since the foals and fillies we....