COMMISSIONER OF INCOME TAX Vs. HUSSAINBHAI M BADRI

JUDGEMENT

(1.) THE following question is referred to this court by the Income -tax Appellate Tribunal under section 256(1) of the Income tax Act, 1961 :

(2.) THE Income -tax Officer competed the assessment of the assessee for the assessment year 1971 -72 on September 6, 1973, by passing an order. Thereafter, the assessee made an application for rectification of the said order on the ground that the Income -tax Officer had not allowed deduction worth Rs. 944 under section 80L of the Act, and that there was also a mistake in calculation in regard to rebate under section 86(v) amounting to Rs. 1,167. The Income -tax Officer accepted the contention of the assessee and granted relief by passing a rectification order under section 154 on September 12, 1974. Possibly, the Income -tax Officer had second thoughts about the correctness of his order and, therefore, he issued a notice on May 19, 1975, proposing to rectify his rectification order passed by him on September 12, 1974. He was of the view that as deduction was allowed under section 80L, no rebate of Rs. 1,167 was admissible under section 86(v) of the Act. The assessee gave his written submissions and objected to the proposed action. The Income -tax Officer, however, thought it fit to rectify the said order and withdrew the deduction allowed under section 86(v).

(3.) THE Revenue, therefore, approached the Tribunal by way of an appeal. The Tribunal also agreed with the view taken by the Appellate Assistant Commissioner and dismissed the appeal. Thereupon, the Revenue moved the Tribunal for referring the abovestated question to this court.