ITO WARD-16(3), NEW DELHI V. MEDITATION PROPERTIES PVT LTD, NEW DELHI

MA 297/DEL/2025

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The case revolves around a Miscellaneous Application filed by the Revenue seeking rectification of an order dated 19.05.2025, where the Tribunal had allowed the appeal of the assessee, Meditation Properties P. Ltd. The Revenue contended that the Tribunal erred in excluding the valuation of shares from the scope of limited scrutiny, which originally included only discrepancies in stock valuations and sales turnover. The Tribunal, however, upheld its original decision, stating that the valuation of shares was not part of the limited scrutiny issues as specified in the notice, and thus, no rectification was necessary.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 791415 (ITAT-DELHI)
• Duration Of Justice: 3 month(s) 22 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 10-12-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2015-2016
• Appeal Filed On: 18-08-2025
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: PRAVEEN KUMAR; EXECUTIVE
• Keywords: Rectification of order

Judgement Text

"आयकर अपीलीय अिधकरण िदʟी पीठ “एस एम सी”, िदʟी ŵी िवकास अव̾थी, Ɋाियक सद˟ IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “SMC”, DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER & MA No.297/Del/2025 (Arising out of ITA No.9394/Del/2019, A.Y. 2015-16) Income Tax Officer, Ward-16(3), New Delhi ...... आवेदक/Applicant बनाम Vs. Meditation Properties P. Ltd., Flat No. 10, C-1/2, Model Town, New Delhi 110009 PAN: AAACM-1194-N ..... ᮧितवादी/Respondent आवेदक/Applicant : Shri Om Prakash, Sr. DR ŮितवादीȪारा/Respondent by : Shri Praveen Kumar, Executive सुनवाई कᳱ ितिथ/ Date of hearing : 10/10/2025 घोषणा कᳱ ितिथ/ Date of pronouncement : : 10/12/2025 आदेश/ORDER PER VIKAS AWASTHY, JM: This Miscellaneous Application has been filed by the Revenue seeking rectification in the order of Tribunal dated 19.05.2025 vide which appeal of the assessee was allowed. 2. Shri Om Prakash, representing the department submitted that the Tribunal had reversed findings of the CIT(A) on the ground that the assessment was selected for limited scrutiny and the issue relating to valuation of shares was beyond the scope of limited scrutiny. The ld. DR submits that the issues selected for limited scrutiny were: (i) Difference in the opening stock of current year and closing stock of previous year in P&L account, and (ii) Mismatch in the sales turnover reported in Audit Report and ITR. Both the aforesaid issues and Printed from counselvise.com 2 MA No.297/Del/2025 (AY 2015-16) valuation of shares are interwind, as shares are issue in lieu of sale of Channa. Hence, there is apparent mistake in the order of Tribunal in segregating and holding that the valuation of shares is outside the scope of limited scrutiny. 3. Per contra, Shri Praveen Kumar, appearing on behalf of the assessee submitted that there is no mistake in the order of Tribunal. The Tribunal has rightly come to the conclusion that valuation of shares is beyond the scope of issues selected for limited scrutiny. 4. Both sides heard. The Department by way of the Miscellaneous Application is seeking rectification/recalling of the Tribunal order dated 19.05.2025. After considering the submissions made by ld. DR, I am considered view that there is no mistake in the Tribunal order much less any apparent mistake. The assessee was selected for limited scrutiny on two counts mentioned in para 4 of the Tribunal order dated 19.05.2025. The Assessing Officer (AO) has expanded the scope of limited scrutiny to valuation of shares which is visibly not the reason mentioned in the notice for limited scrutiny. Hence, there is no mistake in the order of Tribunal as alleged by the Department. The Department is seeking review in the grab of rectification of mistake in the order, which is not permissible. 5. In the result, Miscellaneous Application filed by the Revenue is dismissed. Order pronounced in the open court on Wednesday the 10th day of December, 2025. Sd/- (VIKAS AWASTHY) ᭠याियक सद᭭य/JUDICIAL MEMBER िदʟी / Delhi, ᳰदनांक/Dated 10/12/2025 Printed from counselvise.com 3 MA No.297/Del/2025 (AY 2015-16) NV/- ᮧितिलिप अᮕेिषतCopy of the Order forwarded to : 1. अपीलाथᱮ/The Appellant , 2. ᮧितवादी/ The Respondent, 3. The CIT(A) 4. िवभागीय ᮧितिनिध, आय.अपी.अिध., िदʟी /DR, ITAT, िदʟी 5. गाडᭅ फाइल/Guard file. BY ORDER, //True Copy// (Asstt. Registrar, ITAT, DELHI) Printed from counselvise.com "