SHREE CHEERUMBA CREDIT CO-OPERATIVE SOCIETY LIMITED,MANGALURU V. ITO WARD 2(1), MANGALURU

MA 35/BANG/2025

AI Insights

The case involves Shree Cheerumba Credit Co-operative Society Ltd., the appellant, who filed miscellaneous applications under section 254(2) of the Income Tax Act against the Income Tax Officer, Ward-1(1), Mangalore, the respondent. The applications were based on the appellant's claim that the AO initiated fresh assessment proceedings under section 144B, contrary to the Tribunal's earlier directions to adjudicate the matter afresh. The Tribunal had previously set aside the issue to the AO for fresh adjudication, directing verification of details and relevant judicial decisions, and ensuring a reasonable opportunity of being heard for the assessee. The appellant argued that the AO's actions were against these directions, seeking specific directions from the Tribunal to adhere to the earlier order. However, the Departmental Representative opposed this, arguing that the issues raised were new and outside the limited scope of section 254(2). The Tribunal dismissed the applications, stating that the AO's subsequent actions, if aggrieved by them, should be addressed through appropriate remedies elsewhere, not under section 254(2).

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 706836 (ITAT-BANGALORE)
• Duration Of Justice: 1 month(s) 8 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 10-07-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2017-2018
• Appeal Filed On: 02-06-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SUBRAMANIAN S
• Assessee Lawyers: SRIRAM V RAO
• Keywords: Set aside; Opportunity of being heard

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI SOUNDARARAJAN K, JUDICIAL MEMBER MA Nos. 35-37/Bang/2025 [In ITA No. 547, 548 & 599/Bang/2024] Assessment Years: 2017-18, 2018-19 & 2020-21 Shree Cheerumba Credit Co-operative Society Ltd., Shop No.102, 1st Floor, Sahakari Sadana, Rao & Rao Circle, Mission Street, Mangaluru – 575 001. PAN – AAAAC 1985 B Vs. The Income Tax Officer, Ward –1(1), Mangalore. APPELLANT RESPONDENT Assessee by : Shri Sriram V Rao, CA Revenue by : Shri Subramanian S, JCIT (DR) Date of hearing : 04.07.2025 Date of Pronouncement : 10.07.2025 O R D E R PER WASEEM AHMED, ACCOUNTANT MEMBER: These miscellaneous applications are filed by the assessee under section 254(2) of the Income Tax Act. The assessee wants the Tribunal to direct the Assessing Officer (AO) regarding the wrong initiation of fresh assessment proceedings under section 144B of the Act. The assessee claims that this is a mistake apparent from the record. 2. The assessee referred to the Tribunal's order dated 17.05.2024. In that order, the Tribunal had set aside the issue to the AO for fresh MA Nos.35-37/Bang/2025 Page 2 of 3 . adjudication. The Tribunal directed the AO to verify the details and relevant judicial decisions. It also directed the AO to give a reasonable opportunity of being heard to the assessee. 3. The assessee's grievance is that the AO has started fresh proceedings under section 144B of the Act. According to the assessee, this action is against the directions of the Tribunal. The learned Authorised Representative (AR) argued that the Tribunal should now give a specific direction to the AO to strictly follow the earlier order. 4. On the other hand, the learned Departmental Representative (DR) opposed the application. The DR argued that the assessee is raising a new issue. According to the learned DR, the scope of section 254(2) is limited. Only mistakes apparent from the record can be corrected. The DR submitted that the miscellaneous application is not maintainable. 5. We have heard both sides. We have also examined the miscellaneous applications and the earlier order of the Tribunal. We find that the Tribunal has already issued clear directions to the AO. The AO has been directed to decide the matter afresh after verifying the relevant facts and after giving an opportunity of hearing to the assessee. If the assessee is aggrieved by any further action of the AO, the correct remedy is available elsewhere. Such grievances cannot be rectified under section 254(2) of the Act. In our considered opinion, there is no mistake apparent from the record in the Tribunal's order dated 17.05.2024. The assessee is seeking a address the issue which has no link with the order passed by the ITAT as discussed above. This is not MA Nos.35-37/Bang/2025 Page 3 of 3 . permissible under section 254(2) of the Act. Accordingly, all the miscellaneous applications filed by the assessee are dismissed. 6. In the result, all the miscellaneous applications of the assessee are dismissed. Order pronounced in court on 10th day of July, 2025 Sd/- Sd/- (SOUNDARARAJAN K) (WASEEM AHMED) Judicial Member Accountant Member Bangalore Dated, 10th July, 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 "