2021 (2) TMI 363

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....ribunal dated 03.01.2019. 2. The grievance of the Revenue in the Miscellaneous Application as per the relevant Paras extracted as follows: 5. Being aggrieved with the order passed by the Ld. CIT(A), the assessee had referred an appeal before the Hon'ble ITAT, Pune. The Hon'ble ITAT, "B" Bench, Pune vide its order dated 03/01/2019 had disposed the assessee's appeal by granting the relief to the assessee in as much as that the addition at Rs. 17,41,834/-, Rs. 15,12,700/-, Rs. 13,98,572/-made on account of bogus purchases, disallowance of Dalali and disallowance of interest respectively were confirmed to the extent of 20% instead of 100%. The Hon'ble ITAT while granting relief to the assessee had not considered the ....

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....enue has failed to point out any apparent mistake in the order warranting rectification. The Revenue is seeking review of the entire order in the grab of rectification which is basically beyond the scope of Section 254(2) of the Act. The Ld. AR prayed for dismissing the Miscellaneous Application filed by the Revenue. 5. We have perused the case records and heard the rival contentions. We have also given considerable thought to the order of the Tribunal in ITA No.790/PUN/2016 dated 03.01.2019. The Tribunal after analyzing all the facts and circumstances involved in the present case has confirmed 20% of the disallowance on the total expenses. It is also observed that while reaching its decision in ITA No.790/PUN/2016 dated 03.01.2019, the ....

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....ng Company reported as 203 ITR 497 has held that the scope of section 254(2) is limited to rectification of mistake apparent from record itself and not rectification in error of judgment. The relevant observations of the Hon'ble High Court are as under: "The Tribunal cannot, in exercise of its power of rectification, look into some other circumstances which would support or not support its conclusion so arrived at. The mistake which the Tribunal is entitled to correct is not an error of judgment but a mistake which is apparent from the record itself." We are of considered view that in the guise of rectification, the Revenue is seeking review of the order of Tribunal, which is beyond the scope of powers as envisaged u/s. 254(....