Only ‘mistake apparent from record’ can be rectified U/s. 254 (2)

ÍTO Vs Devendra J Kothari (ITAT Ahmedabad) Conclusion: High Court faulted the Tribunal’s decision of reducing the penalty as a ‘way to bypass the minimum limit’ and the Tribunal was in error in granting the relief, the same does not constitute a mistake apparent from the record so as to enable the Tribunal to revisit its decision Facts – AO added INR 43,72,650 as unexplained investment and imposed penalty u/s 271(1)(c) to the extent of INR 13,00,990 being 100% of tax sought to be evaded. In penalty proceeding, the Tribunal accepted explanation put forth by the assessee to ...