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2014 (3) TMI 843 - AT - Income TaxRectification of order – Bar of limitation - Whether the orders u/s. 201(1) and 201(lA) passed by the AO were barred by limitation – Held that:- The Tribunal observed that the order passed for the A.Ys. 2002-03 and 2003-04 is within the time limit, it is incumbent upon the Tribunal to remit the issue back to the CIT(A) to decide the same on merit with reference to the issue of TDS deduction - As the Tribunal failed to do so, it is fair to correct the error committed by the Tribunal and remit the issue back to the file of the CIT(A) to decide the issue raised by the assessee. The powers of the Tribunal are co-extensive with the powers of the AO and that of the first appellate authority and are, in fact, wider powers than those authorities, subject to the limitation that the Tribunal does not have the power to enhance the assessment which power has been specifically conferred upon the Commissioner (Appeals) u/s 251(1)(a) of the Act – Relying upon CIT v. Mahalaxmi Textile Mills Ltd. [1967 (5) TMI 4 - SUPREME Court] - the doctrine of incidental or implied power has been recognized for the exercise of powers by the Appellate Tribunal - On the same logic it can be said that the Tribunals which has wide powers in respect of the subject-matter of an appeal before it, can decide any question which is material to the subject matter even though it was not raised - Where particular issue has been omitted to be considered or has not been adjudicated properly or where perverse findings have been recorded in total disregard of the material on record, the Tribunal is competent enough to set aside the order of the lower appellate authority to that extent, although no specific ground is taken for that purpose by the concerned party. Whether a mistake can be pointed out on the part of ITAT even when the assessee did not seek any relief from the Tribunal – Held that:- The Tribunal while reversing the order of Commissioner (Appeals) on the point of validity of notice u/s 148, should have also directed the Commissioner (Appeals) to decide the other grounds on merits - The omission to do so i.e., not restoring the matter to the file of Commissioner (Appeals) and not issuing direction for adjudicating the grounds on merit, therefore, amounted to be a mistake on the part of the Tribunal – thus, the CIT(A) is directed to decide the appeals relating to A.Ys. 2002-03 and 2003-04 on merit of the issue raised by the assessee – Decided partly in favour of Assessee.
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