TaxTMI 
TaxTMI 
2013 (11) TMI 147
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....ls is that the learned Commissioner of Income-tax (Appeals) has erred in confirming the action of the Assessing Officer in not allowing interest on excess tax collected from the date of payment up to the date of the order of the Income-tax Appellate Tribunal. Since the issues and circumstances are common, we are adjudicating the issue with reference to the facts of the assessment year 1994-95 for the sake of convenience. In this case the assessee's contention for interest under section 244A was not accepted by the Assessing Officer. The Assessing Officer observed that according to section 244A(2), if the proceedings resulting in refund are delayed for reasons attributable to the assessee, whether wholly or in part, the period of the d....
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....see to substantiate its claim as per the return of income. The learned Commissioner of Income-tax (Appeals) further noted that not only the assessee did not produce the required evidence during the assessment proceedings, but it also failed to do so even during the appellate proceedings resulting into the decision of the first appellate authority going against it. To this extent, the learned Commissioner of Income-tax (Appeals) held that the delay was surely attributable to the assessee. The learned Commissioner of Incometax (Appeals) further observed that since the assessee has failed to discharge the above responsibility as per the law, it will be highly inappropriate to grant it interest for the period when it had failed to discharge suc....
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.... manner, namely : (a) where the refund is out of any tax paid under section 115WJ or collected at source under section 206C or paid by way of advance tax or treated as paid under section 199, during the financial year immediately preceding the assessment year, such interest shall be calculated at the rate of one-half percent for every month or part of a month comprised in the period from the 1st day of April of the assessment year to the date on which the refund is granted: Provided that no interest shall be payable if the amount of refund is less than ten percent of the tax as determined under sub-section (1) of section 115WE or sub-section (1) of section 143 or on regular assessment ; (b) In any other case, such interest shal....
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....serve on the assessee a notice of demand in the prescribed form specifying the amount of the excess interest paid and requiring him to pay such amount; and such notice of demand shall be deemed to be a notice under section 156 and the provisions of this Act shall apply accordingly. (4) The provisions of this section shall apply in respect of assessments for the assessment year commencing on the 1st day of April, 1989, and subsequent assessment years: Provided that in respect of assessment of fringe benefits, the provisions of this sub-section shall have effect as if for the figures '1989', the figures '2006' had been substituted." From the above, it is evident that in case of refund, interest has to be paid from the date of payment....