https://www.taxtmi.com/caselaws?id=68726 Reassessment under the Interest-tax Act was upheld because the Assessing Officer had recorded specific material to form a belief that chargeable interest had escaped assessment, and the notice was received and acted upon without timely objection; any irregularity in service did not invalidate the proceedings. On merits, finance charges arising from genuine hire purchase transactions were not "interest" because the assessee retained ownership until the purchase option was exercised and the arrangement was one of bailment with eventual sale, not a loan or advance. The reassessment objection failed, but the levy on hire purchase charges was unsustainable. en-us Fri, 28 Sep 2001 00:00:00 +0530 Thu, 21 Apr 2016 11:37:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=68726 Reassessment under the Interest-tax Act was upheld because the Assessing Officer had recorded specific material to form a belief that chargeable interest had escaped assessment, and the notice was received and acted upon without timely objection; any irregularity in service did not invalidate the proceedings. On merits, finance charges arising from genuine hire purchase transactions were not "interest" because the assessee retained ownership until the purchase option was exercised and the arrangement was one of bailment with eventual sale, not a loan or advance. The reassessment objection failed, but the levy on hire purchase charges was unsustainable. Case-Laws Income Tax Fri, 28 Sep 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=68726