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2016 (4) TMI 1239 - AT - Income TaxRectification of mistake u/s 154 - withdrawing a portion on interest granted to the assessee u/s. 244A of the Act on the refund - Held that:- The issue sought to be rectified u/s. 154 of the Act is a debatable issue, since an identical issue has been decided in favour of the assessee by the co-ordinate bench of Tribunal Tata Power Co. Ltd. (2015 (8) TMI 87 - BOMBAY HIGH COURT). The very fact that an identical issue has travelled up to the level of Tribunal would show that the said issue is a debatable one. The Hon’ble Supreme Court in the case of T.S.Balram ITO Vs. Volkar Bros.(1971 (8) TMI 3 - SUPREME Court) has held that the decision taken on a debatable point of law shall not constitute a mistake apparent from record. Accordingly we are of the view that the impugned rectification orders are liable to be quashed. Accordingly we set aside the order of Ld CIT(A) and quash the impugned rectification orders. Even on merit we notice that claim of the assessee is supported by the decision of Hon’ble Bombay Court rendered in the case of Tata Power Co. Ltd. (Supra). It is also pertinent to note that the decision rendered by the Co-ordinate bench of Tribunal in the case of Tata Power Co. Ltd (supra) was available on the date of passing of impugned rectification orders. Accordingly, we are of the view that the assessee wins on merits also - Decided in favour of assessee.
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