https://www.taxtmi.com/caselaws?id=204622 The High Court considered the appeal regarding the levy of interest under sections 234B and 234C of the Income-tax Act, 1961. The Tribunal found the interest charged on income surrendered post-financial year unjustified, as it could not have been foreseen for advance tax payment. The Revenue argued for the interest's mandatory nature, citing Explanation 1 to section 234B(1) added in 2001. The Court upheld that interest is based on the income assessed by the authority, not declared by the assessee. It ruled in favor of the Revenue, holding the assessee liable to pay interest under sections 234B and 234C based on the assessed tax. en-us Thu, 22 Jul 2010 00:00:00 +0530 Sat, 24 Mar 2012 13:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=204622 The High Court considered the appeal regarding the levy of interest under sections 234B and 234C of the Income-tax Act, 1961. The Tribunal found the interest charged on income surrendered post-financial year unjustified, as it could not have been foreseen for advance tax payment. The Revenue argued for the interest's mandatory nature, citing Explanation 1 to section 234B(1) added in 2001. The Court upheld that interest is based on the income assessed by the authority, not declared by the assessee. It ruled in favor of the Revenue, holding the assessee liable to pay interest under sections 234B and 234C based on the assessed tax. Case-Laws Income Tax Thu, 22 Jul 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=204622