Case Law Details
Ambuja Cements Limited Vs ACIT (ITAT Mumbai)
In a landmark decision, the Income Tax Appellate Tribunal (ITAT) Mumbai permitted the rectification of a mistake apparent from the record in the case of Ambuja Cements Limited Vs ACIT. The case centred around an issue with the applicability of the tax rate under the India-Mauritius Double Taxation Avoidance Agreement (DTAA) and the dismissal of a related ground in an earlier appeal.
Analysis: The Tribunal observed that the assessee’s appeal for the assessment year 2010-11, which included a similar issue, was dismissed as not pressed. In contrast, the same grounds for the assessment years 2011-12 and 2012-13 were remanded to the Assessing Officer for adjudication. After a detailed review, the Tribunal noted that the initial dismissal constituted a rectifiable mistake under section 254(2) of the Income Tax Act. However, despite this rectification, the contentious ground was again dismissed, this time aligning with a recent decision by the Special Bench of the Tribunal that favoured the Revenue.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
By way of this Miscellaneous Application, filed under section 254(2) of the Income Tax Act, 1961 (“the Act”), the assessee seeks recall / rectification of the order dated 07/11/2022, passed under section 254(1) of the Act by the coordinate bench of the Tribunal in assessee’s appeal being ITA no.2384/ Mum./2019, for the assessment year 2010–11 to the extent of adjudication of ground no.8 raised in assessee’s appeal.
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