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2018 (7) TMI 2058 - ITAT JAIPURRectification of mistake u/s 254(2) - validity of show cause notice issued u/s 263 - withdrawing the approval u/s 10(23C)(vi) - HELD THAT:- Provisions of section 10(23C)(vi) were duly considered by the Tribunal and it was found that the show cause notice for withdrawing the approval granted under section 10(23C)(vi) is a mandatory condition and can be issued by the Competent Authority who has power to withdraw the approval. This defect in the show cause notice cannot be cured and, therefore, the provisions of section 292BB cannot be pressed into service for such an illegality and defect in the show cause notice. Tribunal has also considered all the aspects of show cause notice issued as per the directions of the ld. CIT (E) and, therefore, it was found by the Tribunal that there is nothing in the language of the show cause notice to reveal that the decision was taken by the ld. CIT (E) to set out the grounds in the show cause notice for withdrawal of approval. Tribunal has specifically considered this aspect and found that the language of show cause notice does not exhibit any thought process of CIT(E) but it reveals that it was issued and signed by the DCIT Hqrs as per the instructions and directions of the CIT (E). Tribunal even went further on this point and observed that the matter would have been different if the show cause notice brings out the thought process and application of mind by the ld. CIT (E), but was only signed by the DCIT Hqrs. Hence the Tribunal found that the CIT (E) delegated the power to the DCIT Hqrs to issue the show cause notice which is not permissible as per the provisions of the Act. In view of the detailed finding based on the analysis of the facts and provisions of law, the Miscellaneous Application filed by the revenue has no substance as the revenue is raising the contentions on the merits of the issue and not pointed out any apparent mistake which can be rectified as per the provisions of section 254(2) of the Act. The scope and jurisdiction to rectify the mistake under section 254(2) is very limited and circumscribed. The Tribunal can rectify the mistake which is manifest and apparent on the face of the record and not something which requires a long drawn reasoning. Hence the decision taken on merits cannot be reviewed or revised in the proceedings under section 254(2) - Tribunal has not restricted its finding only on the technical issue but the merits of the order passed by the CIT (E) withdrawing the approval under section 10(23C)(vi) was also decided and hence in view of the facts and circumstances of the case, the Miscellaneous Application filed by the revenue is devoid of any merit. Miscellaneous Application filed by the revenue is dismissed.
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