https://www.taxtmi.com/caselaws?id=340738 Kar Vivad Samadhan Scheme immunity was read to cover penalty and consequential interest directly linked to tax arrears outstanding on 31.03.1998, even where the formal penalty order was passed later, provided the liability arose from the same declared arrears and the scheme certificate had been issued for that subject matter. The commentary also states that refund adjustment under section 245 requires prior written intimation of the proposed set-off and a real opportunity to object; absent such notice and opportunity, the adjustment offends natural justice and is invalid. On that basis, the penalty demand, related interest, and refund adjustment were set aside. en-us Tue, 07 Mar 2017 00:00:00 +0530 Tue, 01 Aug 2017 10:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=340738 Kar Vivad Samadhan Scheme immunity was read to cover penalty and consequential interest directly linked to tax arrears outstanding on 31.03.1998, even where the formal penalty order was passed later, provided the liability arose from the same declared arrears and the scheme certificate had been issued for that subject matter. The commentary also states that refund adjustment under section 245 requires prior written intimation of the proposed set-off and a real opportunity to object; absent such notice and opportunity, the adjustment offends natural justice and is invalid. On that basis, the penalty demand, related interest, and refund adjustment were set aside. Case-Laws Income Tax Tue, 07 Mar 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=340738