Interest Tax Act-Review of Interest tax cases of Scheduled banks.

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....s of the bank for that assessment. 2. The Revenue Audit have pointed out a case where the liability of scheduled bank for payment of interest-tax for the assessment years 1981-83 was reduced in appeal by a very substantial amount. As deduction in respect of the larger amount originally charged by the assessing officer had been allowed as deduction under section 18 of the Interest-tax Act in com....

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....vision or other proceeding under the Interest-tax Act. The assessing officers should then ensure that, in all such cases, consequent revision of the income-tax assessment of the bank for the relevant year is immediately carried out by reducing the deduction allowed with reference to the original interest-tax demand. 4. A compliance report, indicating the number of cases so reviewed and the addi....