https://www.taxtmi.com/caselaws?id=19583 Interest under section 220(2) of the Income-tax Act remains linked to the original notice of demand issued under section 156, even where appellate proceedings later reduce or enhance the assessed income. The proviso to section 220(2) adjusts the interest if the demand is reduced, while section 3 of the Taxation Laws (Continuation and Validation of Recovery Proceedings) Act, 1964 preserves the continuity of recovery proceedings during appeals. On that scheme, no fresh notice of demand is required after appellate finalisation, and interest is computed with reference to the original demand as ultimately modified by the appellate order. en-us Fri, 02 Sep 1994 00:00:00 +0530 Sat, 07 Nov 2009 11:43:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19583 Interest under section 220(2) of the Income-tax Act remains linked to the original notice of demand issued under section 156, even where appellate proceedings later reduce or enhance the assessed income. The proviso to section 220(2) adjusts the interest if the demand is reduced, while section 3 of the Taxation Laws (Continuation and Validation of Recovery Proceedings) Act, 1964 preserves the continuity of recovery proceedings during appeals. On that scheme, no fresh notice of demand is required after appellate finalisation, and interest is computed with reference to the original demand as ultimately modified by the appellate order. Case-Laws Income Tax Fri, 02 Sep 1994 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19583