Interest on Wrongful Input Tax Credit is mandatory where excess transitional credit was retained and later reversed, and related objections were rejec...
Assessee claimed excess deduction under income from house property and received an excess refund; assessee voluntarily deposited the excess refund with interest and filed revised computations before issuance of notice u/s.148. Tribunal applied the principle that voluntary deposit of tax and interest prior to issuance of notice and disclosure of correct income in revised returns negates the basis for imposing penalty; accordingly the penalties under 271(1)(c) and 270A were deleted on the facts and in line with prior similar decisions where the excess refund was repaid before notice.
Assessee claimed excess deduction under income from house property and received an excess refund; assessee voluntarily deposited the excess refund with interest and filed revised computations before issuance of notice u/s.148. Tribunal applied the principle that voluntary deposit of tax and interest prior to issuance of notice and disclosure of correct income in revised returns negates the basis for imposing penalty; accordingly the penalties under 271(1)(c) and 270A were deleted on the facts and in line with prior similar decisions where the excess refund was repaid before notice.
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