1979 (6) TMI 68

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n order of rectification passed under s. 154 of the IT Act, 1961. 2. The assessee is a registered firm. For the asst. yr. 1974-75, corresponding to the year ended 31st day of March, 74, the assessee paid advance-tax according to the demand under s. 210 in the amount of Rs. 1,398 each on 14th Sept., 73 and 20th Dec., 73 and Rs. 1,399 on 13th March, 74. The assessee thereafter paid a sum of Rs. 3....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t. This was confirmed by the AAC. 3. In the appeal before us, it was contended on behalf of the assessee that under s. 214 the view that interest was allowable only on advance-tax paid by strictly complying with the provisions of ss. 207 to 213 was debatable as even amounts paid within the previous year were taken into account for the purpose of adjustment against taxes due as well as for the p....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e of the opinion that the assessee is entitled to succeed. The admitted facts are that the assessee became entitled to refund only after giving credit to the sum of Rs. 3,670 paid on 30th March, 74. According to the Revenue this amount cannot be treated as advance-tax payable under any of the ss. 207 to 213 which alone qualify interest under s. 214, According to the assessee it is debatable. Thoug....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he Act. We find that this interpretation was made on the ground that s. 214 enables the Revenue to charge interest at the rate of 12 per cent from 1st day of April, next following the financial year and the amount by which the advance-tax paid under s. 212 falls short of the assessed tax. When we read s. 214, we find that here also the interest liable to be paid to he assessee the amount by which ....