TMI Blog2006 (9) TMI 80X X X X Extracts X X X X X X X X Extracts X X X X ..... -tax Appellate Tribunal vide its order dated March 27, 2001, in appeal for the assessment year 1991-92 allowed the appeal of the Revenue after going through the law laid down in CIT v. Canara Work shops P. Ltd . [1986] 161 ITR 320 (SC) as section 80B(5) of the Income-tax Act, 1961 (for short "the Act"), was not on the statute. The Revenue contends that before allowing deductions under Chapter VI-A, effect to all the provisions of the Act has to be given for determining the gross total income. The gross total income is defined in section 80B(5) of the Act which reads as under "gross total income' means the total income computed in accordance with the provisions of this Act, before making any deduction under this Chapter." 3 According ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee was claiming deduction in accordance with sections 8OHH and 80-I of the Act on the gross total income, the Department contends that it is only the residue of the income deducted in accordance with law that such a claim can be made. For better appreciation of the controversy, it would be useful to reproduce the provisions of sections 80-I and 8OHH of the Act. Section 80-I provides that: "80-1(1) Where the gross total income of an assessee includes any profits and gains derived from an industrial undertaking or a ship or the business of a hotel, or the business of repairs to ocean-going vessels or other powered craft, to which this section applies, there shall, in accordance with and subject to the provisions of this section, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ime was running two units. From the leather division, the assessee has suffered a loss of Rs. 1,97,556 for which adjustment against the income of liquor division arrived from the business of liquor was made. 8 We have already reproduced the relevant provisions of sections 80-I and 8OHH of the Act which contemplates rebate to the extent of 20 per cent. of the profits and gains. On a plain reading of the provisions, we are of the view that the deductions under sections 80-I and 80HH are available only on profits and gains from business. In the present case, the assessee claimed relief under sections 80-I and 80HH on the hypothesis that it is only after the losses are clubbed with the profit of the other concerns that relief is available t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... our years from the date of the order to rectify any mistake apparent from the record and amend any order passed by it under sub-section (1) and to make such amendment if a mistake is brought to its notice by the assessee or the Assessing Officer. Though the power of the Tribunal is restricted to rectify any mistake apparent on record, in the present case, the Tribunal has completely reviewed its earlier order passed in favour of the Revenue on the first question. We may clarify that though within four years from the order it is permissible to seek rectification, the rectification does not authorize review of its order. In the facts and circumstances of the present case, the assessee was seeking a substitute for the direction given in favour ..... X X X X Extracts X X X X X X X X Extracts X X X X
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