SUSHILA DEVI Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS writ petition challenges the orders dated May 14, 1990, and October 29, 1990 (annexures-1 and 2 to the writ petition), passed by the Income-tax Appellate Tribunal, Delhi Bench 'SMC', New Delhi (respondent No. 2), for the assessment year 1982-83 and further directing the said respondent to dispose of the petitioner's application under Section 254(2) of the Income-tax Act, 1961. During the pendency of the writ petition, the order was passed by respondent No. 2 on the petitioner's application under Section 254(2) of the Act on June 23, 1994, the petitioner further seeks quashing of the same, which is annexed as annexure SA-2 to the supplementary affidavit.

(2.) THE brief facts are, the petitioner started selling her agricultural land in plots from the assessment year 1976-77 and continued to sell up to the assessment year 1982-83. THE Income-tax Officer initially treated the sale of plots as an adventure in the nature of trade/business as against capital gain claimed by the assessed. This issue was finally decided by the Income-tax Appellate Tribunal by its order dated July 9, 1984, holding the sale of plots as business activity and not capital gain and directed for adoption of land at the rate of Rs. 17 per sq. yard as its initial cost. Similar direction was issued in the appeals for the assessment years 1977-78 to 1980-81.

(3.) THE only point pressed before us is whether rejection of the application of the petitioner for rectification of the mistake for the year 1982-83 is sustainable or not ? THE argument on behalf of the petitioner is, it is mistake apparent on the face of the record and respondent No. 2 refusing to rectify has committed an illegality.