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2019 (1) TMI 394 - ITAT KOLKATARectification u/s 154 - changing the tax rate applicable to the short term capital gain while giving effect to the order of the CIT(A) - Held that:- AO for the first time charged the tax rate of 20% on short term capital gain on the ground that there was a mistake in the order originally passed u/s 143(3) in charging the tax rate at 10%. As rightly submitted by the learned counsel for the assessee, the scope of the order passed by the A.O. while giving effect was limited and he should have confined himself to the direction and decision given by the CIT(A) on the issues raised by the assessee in the appeal. Since the issue relating to tax rate applicable to the short term capital gain was not involved in the appeal filed by the assessee before the CIT(A) and there was no decision or direction given by the CIT(A) on the said issue, the A.O. was not justified in changing the tax rate applicable to the short term capital gain while giving effect to the order of the CIT(A). There was thus a mistake in the order of the A.O. passed while giving effect to the order of the CIT(A) and the same being apparent from record, AO should have rectified the same by accepting the application filed by the assessee u/s 154. - Decided in favour of assessee.
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