2006 (6) TMI 159

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the CIT(A) dt. 28th Dec., 2004. 2. The only effective ground taken by the Revenue reads as under: "On the facts and in the present circumstances of the case, the learned CIT(A) has erred in directing to charge interest under ss. 234B & 234C of the IT Act, 1961 after setting off of MAT credit." 3. The facts of this case are that while completing the assessment under s. 143(3) of the Act on....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ovisions of s. 115JAA, the interest under ss. 234B & 234C is to be calculated after allowing MAT credit. Therefore, the learned AO rectified the same and allowed MAT credit after charging interest under ss. 234B & 234C of the Act. The learned CIT(A), however, accepted the plea of the assessee. Hence, this appeal has been filed by the Department. 4. We have heard the rival submissions and peruse....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....reveals, crystal clear, that the issue of allowing set off before charging interest under ss. 234B & 234C is a debatable one which cannot be decided without resorting to long drawn arguments from both the sides. There is no dispute with regard to the settled law that in such cases, where debatable issues are involved, an order passed by the AO cannot be rectified under s. 154 of the Act. 7. We ....