2003 (5) TMI 515

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....mpugned order of Tribunal dated 12-12-2000. The appeal was admitted in terms of the following questions :- "1. Whether in the facts and circumstances of the case, the ITAT was justified and correct in law in rejecting the miscellaneous application under section 254(2) of the Act of the revenue when there was mistake apparent on the face of record and the mistake was brought to its notice ....

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....rofit @ 5% subject to depreciation. 3. On perusal of the assessment record for the assessment year 1996-97, CIT was of the view that assessment order of the Assessing Officer is erroneous and prejudicial to the interest of revenue. He issued the show- cause notice under section 263 of the Income-tax Act, 1961. After hearing the assessee, he applied the net profit rate at 10% subject to deprecia....

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.... 7. The finding, which has been given by the CIT regarding the assessment order that order is erroneous and prejudicial to the interest of the revenue reads as under :- "In view of the above discussion, I would hold that a case where too a low net profit has been applied while estimating the income of an assessee, it will amount to an erroneous order prejudicial to the interest of the re....