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2019 (8) TMI 766 - AT - Income TaxRectification u/s 154 - deduction u/s 80P denied - a mistake apparent on the record must be an obvious and patent mistake - as per AO, assessee was not eligible for deduction u/s 80P and was wrongly allowed - HELD THAT:- In the present case, with the passing of rectification order u/s 154 of the Act, original order passed u/s 143(3) will be substituted by the new order with denial of claim of deduction u/s 80P(2)(b). This in our view is not permissible more so in view of the aforesaid decision of Hon’ble Delhi High Court in the case of CIT Vs. M.M.T.C. Ltd., [2000 (8) TMI 63 - DELHI HIGH COURT] wherein observed that power to rectify the mistake however, does not cover cases where a revision or review of the order is intended. Further, we find that Hon’ble Supreme Court in the case of T.S. Balram, ITO Vs. M/s. Volkart Brothers [1971 (8) TMI 3 - SUPREME COURT] has held that “a mistake apparent on the record must be an obvious and patent mistake and not something which can be established by a long drawn process of reasoning on points on which there may conceivably be two opinions”. We further find that before Ld.CIT(A), it was assessee’s contention that the deduction u/s 80P has been allowed to the assessee in earlier years. Considering the fact that assessee had been allowed deduction u/s 80P in earlier assessment years, therefore, also it cannot be said that the issue of deduction was a debatable issue which could be rectified u/s 154. We therefore considering the decisions cited hereinabove are of the view that in the present case AO could not have proceeded to withdrew the deduction u/s 80P in the order u/s 154. We therefore set aside the order of AO passed u/s 154 and thus, the grounds of assessee are allowed.
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