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2018 (10) TMI 1132 - HC - Income TaxRectification application u/s 254(2) - mistakes were pointed out, ground-wise and appeal-wise. - estimation of income on account of “on-money” - Tribunal has upheld 40% of the addition - tribunal rejected the application on the ground that issues were discussed - Revenue contended that the writ petition is nothing but an attempt to postpone the payment of taxes. These taxes are admittedly due and payable. Held that:- It is difficult, if not impossible, to reconcile this conflict and contrary conclusions, if the Tribunal admits the additional grounds of appeal and indeed refers to them, then, how these grounds of appeal have been dealt with ought to be clarified in the order itself. The Tribunal is a last fact finding authority. It is obliged to consider the appeal on facts and law. The aggrieved parties before the Tribunal must get an opportunity to demonstrate that the findings of the Assessing Officer even if confirmed by the First Appellate Authority, are indeed erroneous both on facts and law. Such an opportunity ought to be extended and no technicalities should come in the way of a proper and complete adjudication of the contested issues. As the last fact finding authority, the Tribunal was, therefore, not empowered to apply the formula and which was invented by it. If there was a discretionary power to correct that mistake, which it discovered and discerned from its order and it was apparent from it, then, that should have been utilised. The order on the miscellaneous application was passed in a haphazard manner. No useful purpose will be served by now sending the matters back to the Tribunal. The matters, if sent back now, may not necessarily benefit the Revenue. It is only a conjecture and surmise or pure guess work that when sent back, the Revenue will necessarily succeed. There is no such guarantee. In the facts and circumstances peculiar to this case and because there are on-money details which were in issue, but such transactions having been flatly denied much less the quantum derived therefrom, all the additions were in the realm of guess work. They were pure conjectures and surmises. Now, sending back both the parties to the Tribunal serves the interest of none and particularly of public revenue. The sustenance is to the extent of ₹ 4,64,59,769/. - Assessee directed to deposit a sum of ₹ 3,25,00,000/- Decided partly in favor of assessee.
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