Del HC says rectification u/s 154 of intimation u/s 143(1) possible even after scrutiny assessment

The Hon’ble Delhi High Court in a decision dated 06.05.2014 has held that rectification u/s 154 of an intimation u/s 143(1) is possible even after scrutiny assessment has been concluded. The Court held as under :

“It is apparent from the bare reading of the above provision that the
power of rectification extends to amendment of an intimation or
deemed intimation under Section 143. This power enures even after
„the matter‟ has been considered and decided in any proceeding by
way of appeal or revision. Necessarily, this power extends even at
the stage of the appeal and the further appeal to the ITAT. Even after
such decision, it is open to the AO to amend the intimation under
Section 143 (1) if the circumstances so warrant. We are wholly in agreement with the decision in Sam Global’s matter (supra) that the
technicalities in the given circumstances of the case ought not to
obscure the justice. The justice demands, in the peculiar facts of the
case, that there is no impediment to relief. That appears to have been
overlooked in entirety by the lower authorities and the Tribunal had
failed to notice that the controlling expression in Section 154 is not
“an error” which is somewhat coloured by the exercise of power by
the authorities. Instead, the controlling expression is “any mistake”
which has wider connotation and includes mistakes committed by the
parties also.”

For complete text of judgement click here 154 of 143(1)-Del HC