Discretionary waiver of tax interest cannot be disturbed in writ review when the authority has considered relevant grounds and recorded reasons.

A Commissioner's refusal to waive interest under section 273A of the Income-tax Act, 1961, was upheld where the order showed consideration of relevant material, including that the assessee had not voluntarily filed the return and that the original disclosure was incomplete. The discretionary decision on interest charged under sections 139(8) and 215 was found to disclose no non-application of mind or other jurisdictional error. In writ jurisdiction under Article 226, the High Court will not substitute its own view for a statutory authority's reasoned exercise of discretion when relevant grounds have been considered.

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Issues: Whether the Commissioner's refusal to waive interest under section 273A of the Income-tax Act, 1961, in respect of interest charged under sections 139(8) and 215, called for interference in writ jurisdiction under Article 226 of the Constitution of India.

Analysis: The Commissioner recorded reasons that the assessee had not voluntarily filed the return and that the disclosure in the original return was incomplete. The order showed consideration of the relevant material and an exercise of discretion. In writ proceedings, the Court would not substitute its own reasons for the Commissioner's discretionary decision where the authority had acted on stated grounds.

Conclusion: The refusal to waive interest was not shown to suffer from non-application of mind or other jurisdictional error, and no interference was warranted.

Ratio Decidendi: Where a statutory authority vested with discretion under section 273A of the Income-tax Act, 1961, has considered relevant grounds and declined relief, the High Court in writ jurisdiction will not substitute its own view for that discretionary decision.

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