ITAT upholds interest on refund under section 244A, Revenue's appeal dismissed, assessee's cross objection infructuous.

The ITAT upheld the direction of the ld. CIT(A) for granting interest u/s 244A on a refund issued to the assessee till the date of the refund order. The Revenue's appeal challenging this decision was dismissed, and the assessee's cross objection supporting the ld. CIT(A)'s order was also dismissed as infructuous.

---

---

Issues involved: Appeal against the order of ld. CIT(A) u/s 154 for granting interest u/s 244A till the date of issue of refund.

Summary:
1. Issue of Granting Interest u/s 244A: The A.O. did not credit the amount of &8377; 1,30,00,000/- while working out the refund due to the assessee. Upon application u/s 154, the A.O. allowed the credit of this amount after verification with banking authorities. However, interest u/s 244A on this refund till the date of refund was not granted. Ld. CIT(A) directed the A.O. to grant interest u/s 244A on the refund issued till the date of the refund order. The ITAT upheld this decision, dismissing the Revenue's appeal.

2. Cross Objection: The assessee's cross objection in support of ld. CIT(A)'s order became infructuous due to the decision in the Revenue's appeal and was consequently dismissed as infructuous.

3. Final Decision: The ITAT dismissed both the Revenue's appeal and the assessee's cross objection, upholding the direction to grant interest u/s 244A till the date of the refund order.

---