The assessee entered into a banakhat with the seller in 1987 in respect of a piece of land, which was duly registered. The land was converted from agricultural to non-agricultural use with the object to effectuate the banakhat. The gram panchayat tax bills for the period 1988-89 to 2004-05 with the assessee’s name showed that the assessee had effective right over the property since 1987. This suggested that the assessee had secured the right to purchase the property after completing necessary formalities. The same property in respect of which banakhat was entered into in 1987 was transferred in the name of the assessee by the same seller. Hence, it would be difficult to conclude that it was a straightforward case wherein the Assessing Officer had made a “mistake apparent from the record”. Both parties, the seller and the buyer of the land (assessee), took necessary steps to effectuate the sale. The sale was registered in the assessee’s name on December 8, 2009. The issue required an analysis of facts before coming to the conclusion whether the sale of land by the assessee gave rise to short-term or long-term capital gains. This was not an issue which could be a subject matter of section 154 of the Act. The Commissioner (Appeals) had erred in upholding the order under section 154 of the Act passed by the Assessing Officer. (AY.2011-12)