TMI Blog2009 (7) TMI 36X X X X Extracts X X X X X X X X Extracts X X X X ..... lf under Section 154(2)(a) and in the absence of any such rectification carried out, the assessee was fully entitled to invoke Section 154(2)(b) and seek for necessary rectification. - 477 & 478 of 2009 - - - Dated:- 7-7-2009 - F. M. IBRAHIM KALIFULLA and B. RAJENDRAN, JJ. Mr. J. Narayanaswamy for the appellant. JUDGMENT The judgment of the Court was made by F. M. IBRAHIM KALIFULLA, J. - The Revenue filed these appeals against the order of the Income Tax Appellate Tribunal, Chennai Bench "C", made in I.T.A. Nos.2457 2172/Mds/2007 dated 30.6.2006. 2. In these two appeals, the substantial questions of law which arise for consideration are, (i) whether on the facts and circumstances of the case, the Tribunal was right ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of assessment on 27.3.2006. 4. In the order of assessment, there is a specific statement to the effect that during the course of search, safe deposit vault was found in the premises, which belonged to the respondent assessee, and it contained cash of Rs.60 lakhs, Indira Vikas Patras worth Rs.50 lakhs and jewellery and Bullion worth Rs.17,84,865/= (as per Valuation Report). The order of assessment was appealed against and thereafter, the assessing authority, by his order dated 19.10.2006 gave effect to the appellate authority's order dated 1.9.2006 and revised the order passed under Section 143(3), by which the amount refundable to the assessee was also determined. The respondent assessee sought for rectification of the said order dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rest in the order dated 19.10.2006 cannot fall under Section 154 of the Act to enable the respondent assessee to seek for rectification of a mistake apparent on the face of the record. As far as the deletion of penalty is concerned, the learned counsel contended that inasmuch as the production of the entries contained in a diary was after the seizure, there was every justification for the assessing authority to have levied penalty by invoking Section 271(1)(c) of the Act. 7. Though, in the first blush, the submission of the learned Standing Counsel appears to be forceful, on a perusal of the orders of the Tribunal, as well as, that of the first appellate authority, we find that none of the contentions raised by the learned Standing Coun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ek for the necessary relief under Section 132(B)(4)(a) of the Act in the event of any default in the application of the said provision. We are, therefore, convinced that the conclusion of the first appellate authority as well as that of the Tribunal in having held that the respondent assessee was entitled to invoke Section 132(B)(4)(a) was perfectly justified. 8. Insofar as the contention that the respondent assessee was not entitled to invoke Section 154 of the Act is concerned, a plain reading of Section 154 makes it clear that under Section 154(1)(a), if in the event of any mistake apparent from the record in respect of any order passed by the Income-tax authority referred to in Section 116 is found, the amending of such an order can ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me at Rs.17,84,865/=, whereas according to the assessee, the value was only Rs.17 lakhs. Though the assessee sought to explain the difference in the value, the assessing authority declined to accept the explanation and treated the difference of Rs.84,865/= as unaccounted investment in the relevant assessment order. The first appellate authority, in the order dated 8.8.2007, therefore, rightly held that there was neither concealment nor furnishing of inaccurate particulars. In fact, the first appellate authority has noted that the assessing authority while issuing the penalty proceedings used the printed form of ITNS-29 and the assessing authority has not even chosen to struck off either "concealed the particulars of your income" or "furnish ..... X X X X Extracts X X X X X X X X Extracts X X X X
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