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2019 (8) TMI 106 - MADRAS HIGH COURTRectification of mistake u/s 154 - in order u/s 154, AO alleged that the assessee claimed the entire capital gain arising from the sale of the two properties as exempt u/s 54 and 54F - assessee contention that both the properties sold are one property being building and land appurtenant thereto but sold to two different purchasers - CIT(A) and Tribunal decided the issue on merit against assessee without disposing objection of being debatable issue hence no order u/s 154 can be passed HELD THAT:- In our considered view, the first issue that should have been taken into consideration is as to whether the power u/s 154 could have been invoked. Admittedly, the power u/s 154 is a power to rectify the mistake and it is not a power to review an order. Furthermore, the power can be invoked to rectify a mistake, which is apparent from the record which undoubtedly would mean that such power cannot be exercised by making roving enquiry into the matter specially where there are disputes raised by the assessee on which a decision requires to be given after considering the submissions. The Hon'ble Apex Court in CIT VERSUS SOUTH INDIA BANK LTD. [2000 (12) TMI 6 - SUPREME COURT] noted that there was a difference of opinion among the learned Judges of the High Court on the principal question and held that there was a debatable question and cannot be rectified u/s 154. We hold that the Tribunal committed an error in dismissing the appeal filed by the assessee and in the result the appeal is allowed and the substantial question of law are answered in favour of the assessee.
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