2015 (10) TMI 1870

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....constitute mistake apparent from record. 3. Briefly stated the facts of the case are that the assessee is in the business of Commercial Artists & designers. Return for the year under consideration was selected for scrutiny assessment and assessment u/s. 143(3) of the Act was made on 23.11.2007, after making inter alia, following additions u/s. 40a(ia) of the Act. i. TDS was deducted on contract payments made of Rs. 67,27,304/- and not credited the same to the Govt. A/c within the stipulated time. Further, it is seen from the Audit Report & Statement of Income, that the assessee has already disallowed an amount of Rs. 9,38,951/- u/s. 40(a)(ia) on account of Contract payments. Therefore, the balance amount of Rs. 57,88,353/- shall be di....

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....therefore does not fall within the ambit of Sec. 154 of the Act. Rectification application was accordingly rejected. 5. The assessee carried the matter before the Ld. CIT(A) but without any success. 6. Before us, the Ld. Counsel for the assessee vehemently submitted that with the amendment brought by the Finance Act, 2010, and subsequent decisions of the Tribunal it has been successfully held that amendment to Sec. 40(a)(ia) is retrospective in effect therefore the Ld. CIT(A) erred in upholding the rejection of 154 application. 7. Per contra, the Ld. Departmental Representative strongly supported the order of the Ld. CIT(A). It is the say of the Ld. DR that amendment to Sec. 40(a)(ia) cannot be made the mistake apparent from record....

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....case of ACIT Vs Saurashtra Kutch Stock Exchange Ltd. 305 ITR 227 wherein the Hon'ble Supreme Court has observed as under: "Rectification of an order stems from the fundamental principle that justice is above all. It is exercised to remove the error and to disturb the finality. A patent, manifest and self-evident error which does not require elaborate discussion of evidence or arguments to establish it, can be said to be an error apparent on the face of the record and can be corrected while exercising certiorari jurisdiction. An error cannot be said to be apparent on the face of the record if one has to travel beyond the record to see whether the judgment is correct or not. An error apparent on the record means an error which strik....