https://www.taxtmi.com/caselaws?id=204862 HC held that while interest under s.234B is mandatory once liability arises, such liability depends on a proven default in payment of advance tax. Relying on SC's decision in Ghaswala, the Court clarified that mandatory recovery applies only after default is established. In this case, there was no dispute that the assessee paid advance tax when due and was not in default. The Tribunal's view that the assessee should have anticipated subsequent events (occurring in March 1992 and the next financial year) and paid higher advance tax was rejected as untenable. The appeal was allowed, and the levy of interest under s.234B was set aside. en-us Mon, 20 Dec 2010 00:00:00 +0530 Mon, 24 Nov 2025 17:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=204862 HC held that while interest under s.234B is mandatory once liability arises, such liability depends on a proven default in payment of advance tax. Relying on SC's decision in Ghaswala, the Court clarified that mandatory recovery applies only after default is established. In this case, there was no dispute that the assessee paid advance tax when due and was not in default. The Tribunal's view that the assessee should have anticipated subsequent events (occurring in March 1992 and the next financial year) and paid higher advance tax was rejected as untenable. The appeal was allowed, and the levy of interest under s.234B was set aside. Case-Laws Income Tax Mon, 20 Dec 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=204862