ITO, NEW DELHI V. DOMINION INVESTMENT PVT. LTD., NEW DELHI

MA 300/DEL/2024

AI Insights

The case involves a miscellaneous application filed by the Revenue against the order of the Tribunal in MA No.40/Del/2021, which had dismissed the Revenue's earlier appeal due to the non-submission of 'reasons recorded' for reopening a case. The Tribunal had previously allowed the assessee's appeal on these grounds, granting the Revenue liberty to approach again once the reasons were available. In the current proceedings, the Revenue sought to recall the earlier order, claiming that the reasons were now available. However, the Tribunal dismissed the application, referencing established precedents that restrict the filing of miscellaneous applications against orders passed in earlier miscellaneous applications.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 312123 (ITAT-DELHI)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-05-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2002-2003
• Other Referred Cases: Padam Prakash (HUF) v ITO, Mercedes Benz Education Academy TS-280-ITAT-2019(PUN)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAHIL KUMAR BANSAL

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “B”, NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER and SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER MA No.300/Del/2024 (in MA No.40/Del/2021) (arising in ITA No.34/DEL/2023) (Assessment Year : 2002-03) Income Tax Officer, Ward 7 (1), vs. M/s. Dominion Investments P. Ltd., New Delhi. C/o O.P. Sapra & Associates, Adv. C-763, New Friends Colony, New Delhi – 110 025. (PAN: AAACD3199A) (APPLICANT) (RESPONDENT) ASSESSEE BY : None APPLICANT/REVENUE BY : Shri Sahil Kumar Bansal, Sr. DR Date of Hearing : 02.05.2025 Date of Order : 02.05.2025 O R D E R PER S. RIFAUR RAHMAN, AM : 1. This misc. application is filed by the Applicant/Revenue against the order of the Tribunal in MA No.40/Del/.2021 dated 22.01.2024 for AY 2012-13 arising out of ITA No.34/Del/2021. 2. Ld. DR of the Revenue submitted that ITAT allowed the appeal of the assessee as the Revenue failed to provide the reasons recorded for reopening of the case with the liberty to approach it whenever the reasons are traced and made available. Further, he submitted that Revenue has 2 MA No.300/Del/2024 filed MA No.40/Del/2021 which was dismissed vide order dated 22.01.2024 by the ITAT by observing that, “Even at this juncture, the Revenue has not filed the “reasons recorded” before us. This is only abuse of the liberty given to the Revenue.” He submitted that now the reasons recorded are available with the Revenue and accordingly, he prayed that the misc. application may be allowed and the order be recalled. 3. None appeared on behalf of the assessee. 4. Considered the submissions of the ld. DR of the Revenue and material available on record. We observed that as it is clear from language in section 254(2), the mistake apparent in Order passed under section 254(1) can be rectified by the Tribunal and the issue arises is whether Miscellaneous Application can be filed against Order passed by Tribunal in earlier MA. This issue has been dealt by the ITAT in various cases. In the case of Padam Prakash (HUF) v ITO (ITAT – SB Delhi) (2011) 131 ITD 121, 9 taxmann.com 178, the Tribunal held that section 254 (2) can be invoked only if there is a mistake in the order passed by the Tribunal u/s 254(1) and as the MA filed by the assessee is against an order passed u/s 254(2) it has to be rejected. Further in the case of Mercedes Benz Education Academy TS-280-ITAT-2019(PUN), the Applicant/Revenue 3 MA No.300/Del/2024 filed Miscellaneous Application against Miscellaneous Application and the ITAT held that MA is not maintainable as there is no provision in the Act to allow filing of Miscellaneous Application against an order passed by the Tribunal in Miscellaneous Application filed by assessee. Accordingly, respectfully following the aforesaid orders, we dismiss the misc. application filed by the Revenue. 5. In the result, the appeal filed by the Revenue is dismissed. Order pronounced in the open court on this 2nd day of May, 2025 after the conclusion of the hearing. Sd/- sd/- (SATBEER SINGH GODARA) (S.RIFAUR RAHMAN) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 02.05.2025 TS Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI "