ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1(1), HUBLI V. ARVIND CHANDRAKANT BELLAD, DHARWARD

MA 14/BANG/2025

AI Insights

The case involves Sri Arvind Chandrakant Bellad, the appellant, against the Assistant Commissioner of Income Tax, Circle \\u2013 1(1), Hubballi, the respondent. The dispute centered on the appeals ITA Nos. 933 & 934/Bang/2024 for the assessment years 2016-17 & 2017-18. The Revenue filed miscellaneous applications under section 254(2) of the Income-tax Act, 1961, seeking recall of the Tribunal's earlier order, citing a reliance on a now-reversed High Court decision. The Tribunal acknowledged the oversight and recalled the order for a fresh hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 360967 (ITAT-BANGALORE)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 21-05-2025
• Appeal Filed By: Department
• Order Result: Allowed
• Assessment Year: 2016-2017
• Other Referred Cases: ACIT v. Saurashtra Kutch Stock Exchange Ltd. [2008] 305 ITR 227 (SC)
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: MATHANGI R
• Assessee Lawyers: VINAY KULKARNI

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH, BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI KESHAV DUBEY, JUDICIAL MEMBER MP 14 & 15/Bang/2025 [In ITA No. 933 & 934/Bang/2024 Assessment Years: 2016-17 & 2017-18 Sri Arvind Chandrakant Bellad, 68, Bellad Towers, Gokul, Dharwad. PAN – ABUPB 6065 H Vs. The Asst. Commissioner of Income Tax, Circle – 1(1), Hubballi. . APPELLANT RESPONDENT Assessee by : Shri Vinay Kulkarni, CA Revenue by : Smt. Mathangi R, JCIT (DR) Date of hearing : 25.04.2025 Date of Pronouncement : 21.05.2025 O R D E R PER WASEEM AHMED, ACCOUNTANT MEMBER: These miscellaneous applications are filed by the Revenue under section 254(2) of the Income-tax Act, 1961 seeking recall of the order of the Tribunal dated 19.11.2024 passed in ITA Nos. 933 & 934/Bang/2024. 2. In its applications, the Revenue has pointed out that while allowing the assessee's appeal, the Tribunal relied upon the decision of the Hon'ble Karnataka High Court in the case of Shri Vishnu Meharwade MP Nos.14 & 15/Bang/2025 Page 2 of 3 . (WP No. 103377/2017 dated 12.04.2023). However, the said judgment was subsequently reversed by the Division Bench of the Hon’ble High Court in Writ Appeal No. 100568/2023 (LA-RES) vide order dated 29.10.2024. This material development was not brought to the notice of the Tribunal and thus remained unconsidered in the impugned order. 3. The learned Departmental Representative submitted that the failure to consider the binding judgment of the Division Bench of the Hon’ble Jurisdictional High Court constitutes a mistake apparent from the record, justifying recalling of the order under section 254(2) of the Act. The learned Authorised Representative for the assessee could not controvert this factual assertion and did not offer any effective rebuttal. 4. Having carefully considered the submissions and the record, we are of the view that there exists a mistake apparent from the record. The Tribunal, in its order dated 19.11.2024, placed reliance on a decision which has subsequently been reversed by a coordinate bench of the Hon’ble High Court. In such circumstances, failure to consider the subsequent binding judgment amounts to a mistake apparent from the record, as laid down in a catena of judicial precedents including the decision of the Hon’ble Supreme Court in ACIT v. Saurashtra Kutch Stock Exchange Ltd. [2008] 305 ITR 227 (SC). Accordingly, we recall the order of the Tribunal dated 19.11.2024 in ITA Nos. 933 & 934/Bang/2024. These appeals are restored to the registry for fresh hearing. Considering the nature of the issue and in the interest of justice, we direct that the matter be listed for hearing on 29.05.2025. Since the date of hearing is announced in the open court through this order, no separate notice is required to be issued to the parties. MP Nos.14 & 15/Bang/2025 Page 3 of 3 . 5. In the result, both the miscellaneous applications filed by the revenue are hereby allowed. Order pronounced in court on 21st day of May, 2025 Sd/- Sd/- (KESHAV DUBEY) (WASEEM AHMED) Judicial Member Accountant Member Bangalore Dated, 21st May, 2025 / vms / Copy to: 1. The Applicant 2. The Respondent 3. The CIT 4. The CIT(A) 5. The DR, ITAT, Bangalore. 6. Guard file By order Asst. Registrar, ITAT, Bangalore "