PRINCIPAL C.I.T, UDAIPUR vs. M/S RAVINDRA HERAEUS P. LTD.

ITA/112/2015HC RajasthanRJHC01022450201505 May 20162 pages

AI SummaryDismissed

What did the High Court hold?

The High Court held that the ITAT rightly dismissed the Revenue's applications seeking review of its earlier orders. The Court reasoned that in the absence of any statutory provision empowering an authority to review its own order, such a power cannot be exercised, even if the application is framed as seeking clarification, modification, or correction. The ITAT's reliance on the Supreme Court decision in ACTO Vs. Makkad Plastic Agencies (2011 (4) SCC 750) was found to be appropriate. The Court concluded that no substantial question of law arose for consideration, as the ITAT's decision to dismiss the review applications was based on well-settled legal principles. Consequently, the appeals filed by the Revenue were dismissed.

What were the facts?

The appeals were filed by the Principal Commissioner of Income Tax, Udaipur, challenging the order dated 9.10.2014 of the Income Tax Appellate Tribunal (ITAT), Jodhpur Bench. The ITAT's order dismissed the Revenue's applications seeking review of its earlier orders dated 26.5.2006. These earlier orders were passed in ITA No.467/Jodh/2004 for Assessment Year 2001-02 and ITA No.754/Jodh/2005 for Assessment Year 2000-01. The Revenue had not challenged the ITAT's original orders of 26.5.2006. The ITAT dismissed the review applications, relying on a Supreme Court decision, stating that review is not permissible in the absence of a statutory provision, even under the guise of clarification or modification.

What were the issues?

1. Whether the ITAT was justified in dismissing the Revenue's applications seeking review of its earlier orders dated 26.5.2006, when these applications were filed under the guise of seeking clarification/rectification and not as statutory review applications. Assessee's Contention: The judgment does not record any specific contentions made by the assessee, M/s Ravindra Heraeus (P) Ltd. Revenue's Contention: The Revenue sought to review the ITAT's earlier orders dated 26.5.2006 by filing applications for clarification/rectification. The Revenue implicitly contended that such review, even if termed as clarification or rectification, was permissible to correct errors in its earlier orders. The Revenue's appeals to the High Court were based on the premise that the ITAT erred in dismissing these review/clarification applications.

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

1 IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR

(1) D. B. Income Tax Appeal No. 112/2015 Principal Commissioner of Income Tax, Udaipur Vs. M/s Ravindra Heraeus (P) Ltd. (2) D. B. Income Tax Appeal No. 101/2015 (D) Principal Commissioner of Income Tax, Udaipur Vs. M/s Ravindra Heraeus (P) Ltd.

Date of Order : 05/05/2016 HON'BLE MR. JUSTICE SANGEET LODHA HON'BLE MR. JUSTICE KAILASH CHANDRA SHARMA Mr. K.K.Bissa, Sr. Standing Counsel for Income Tax Department with Mr. H.G.Chanda & Mr. G.S.Chouhan, for the appellant. BY THE COURT Heard learned counsel for the appellant. In the instant appeals, the appellant has questioned the legality of the order dated 9.10.14 of the Income Tax Appellate Tribunal, Jodhpur Bench, Jodhpur passed in M.A. No.48/Jodh/2008 arising out of ITA No.467/Jodh/2004, Assessment Year 2001-02 and M.A. No.05/Jodh/2009 arising out of ITA No.754/Jodh/2005, Assessment Year 2000-01, whereby the applications preferred by the Revenue seeking review of the order dated 26.5.2006

2 passed by the ITAT, stand dismissed. It is to be noticed that the order of the ITAT dated 26.5.06 passed in ITA No.467/Jodh/2004 and 754/Jodh/2005, is not challenged by the appellant. The review applications have been dismissed by the ITAT relying upon a decision of the Hon'ble Supreme Court review under the garb of clarification/modification/ correction is not permissible. It is well settled that in absence of statutory provision, the authority cannot review its own order and thus, the applications preferred by the Revenue seeking review of the order in the garb of applications seeking clarification/ rectification, have rightly been dismissed by the ITAT. In this view of the matter, no substantial question of law arises for consideration of this Court in the present appeals. The appeals are, therefore, dismissed. (KAILASH CHANDRA SHARMA), J. (SANGEET LODHA), J. Rp

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