2016 (1) TMI 372

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....e Tribunal") in ITA No. 3230/DEL/2010, for the assessment year 2007-08, claiming the following substantial questions of law:- 1. Whether on facts and in the circumstances, the Ld. ITAT was right in law in upholding the order of CIT(A) in deleting interest u/s 234A of the Income Tax Act and to restrict the levy of interest u/s 234B of the Income Tax Act charged by the Assessing Officer even though in the charging of interest u/s 234A and 234B is mandatory in nature and is contrary to the decision of the Hon'ble Supreme Court in the case of CIT Vs. Anjum M.H. Ghaswala & others (2001) 252 ITR 1 (SC) wherein it is held that Sections 234A and 234B are independent provisions of the Income Tax Act and if conditions for attracting thes....

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....at of ITAT upholding the order of CIT(A) are perverse inasmuch as Sections 45 and 48 do not recognize conditional sale for computation of capital gains, rather, that capital gains have to be computed on considerations received or accruing? 2. Briefly stated, the facts necessary for adjudication of the instant appeal as narrated therein may be noticed. The assessee is an agriculturist and had filed the return of income on 10.10.2007 for the assessment year 2007-08 declaring a total income of ` 9,71,54,990/- including long term capital gain of ` 9,69,29,440/- with agricultural income of ` 62,460/- under Section 139(1) of the Act. The case of the assessee was selected for scrutiny and the Assessing Officer vide order dated 8.10.2009 (Annexu....

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....eleting the interest under Sections 234A and 234C of the Act and in restricting the interest charged under Section 234B of the Act. 5. We have heard learned counsel for the revenue. 6. In this appeal, two issues arise for consideration of this Court, namely, (i) Whether the CIT(A) was well within his jurisdiction to entertain the first appeal under Section 246 of the Act against the chargeability of interest by the Assessing Officer under Sections 234A, 234B and 234C of the Act; and (ii) Whether the CIT(A) and the Tribunal were justified in deleting the interest under Sections 234A and 234C of the Act and in restricting the interest charged under Section 234B of the Act. 7. The matter is no longer res integra. This Court in ITA No.....