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2021 (3) TMI 213 - AT - Income TaxRectification u/s 154 - gain on sale of agricultural land and income from agriculture - while computing the MAT in the return of income, the same was not reduced from the book profit and hence this anomaly has taken place - HELD THAT:- We are quite convinced that this is an apparent mistake which the revenue should have rectified on its own. In our view, the income which is not taxable under the Act, can not be brought to tax on the technicalities of the matter that no exemption was claimed by the assessee. In the present case the gain on sale of agricultural land as well as income from agriculture are exempt from tax under the provisions of section 10(1) of the Act and therefore it has erroneously been included while computing the book profit. On the issue of observation of the Ld. CIT(A) that the AO could not have considered the rectification in view of the decision of Hon’ble Supreme Court in the case of Goetz India Ltd. [2006 (3) TMI 75 - SUPREME COURT], but certainly the Ld. CIT(A) could have directed the AO to rectify this mistake as there is no bar on the ld CIT(A) to correct the apparent mistake nevertheless the mistake attributed to the assessee . We are therefore not in agreement with the finding of the Ld. CIT(A) and direct the AO to exclude the gain on sale of agriculture and also income from agriculture while computing the book profit under section 115JB of the Act. Consequently, the Ld. CIT(A)’s order is set aside and AO is directed to exclude the gain on sale of agricultural land and income from agriculture from book profit - Appeal of the assessee is allowed.
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