2025 (1) TMI 1574 - AT - Income Tax

Taxability of Interest income and miscellaneous income - mistake apparent from record - Recalling of order - liable to be taxed under the head income from business and profession OR income from other sources - HELD THAT - On going through the facts of the instant case we are hereby recalling the order 2024 (3) TMI 199 - ITAT AHMEDABAD to the limited extent with regard to taxability of interest income and miscellaneous income which we observe was not adjudicated by the ITAT in the above order. Miscellaneous Application of the assessee praying for limited recall of order is allowed and the matter may be fixed for hearing in due course.

Summary

The Appellate Tribunal (ITAT Ahmedabad) partially recalled its order dated 29.02.2024 in ITA No. 414/Ahd/2020 upon the assessee's Miscellaneous Application. The assessee contended that the Tribunal erred by not considering the coordinate Bench's earlier ruling in ITA No. 569/Ahd/2019 (A.Y. 2015-16), which held that "interest income and miscellaneous income earned by the assessee is liable to be taxed under the head 'income from business and profession' instead of 'income from other sources'." The Tribunal acknowledged this omission as a "mistake apparent from record" and limited the recall to the issue of taxability of interest and miscellaneous income, which was not adjudicated in the original order. The Miscellaneous Application was allowed, and the matter was ordered to be fixed for further hearing.