The Tribunal held that the Order of the Tribunal having passed the Order accepting the request for withdrawal of appeals on the basis of mistaken representation made by the assessee’s counsel that the appeals did not survive under a wrong impression that the related assessment has been set aside by the CIT for de novo assessment in his order under Section 263, whereas the CIT had directed to examine specific issues, same has resulted in an error in the Order which is liable for rectification under Section 254(2) of the Act. Therefore, the Order of accepting the withdrawal has been recalled and the appeal needs to be adjudicated on merits. (AY. 2006-07 & 2008-09)
Motia Construction Ltd. v. DCIT (2021) 212 TTJ 398 / 90 ITR 103/ 203 DTR 365 (Chd.)(Trib.)
S. 254(2) : Appellate Tribunal-Rectification of mistake apparent from the record-Order of the Tribunal, accepting the withdrawal of the appeals, passed on incorrect facts which were mistakenly represented and admitted by assessee’s counsel has resulted in an error in such Order and is liable for rectification. [S. 263]