2012 (1) TMI 221

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....os.3.1 to 3.4 regarding levy of interest u/s 234D and after incorporating these grounds, reference has been made to paragraphs 5 & 6 of the Tribunal's order and these paragraphs have been verbatim incorporated in the body of the petition. Although the issue of interest was decided in favour of the assessee but the grevience of the petitioner before us is that the Tribunal has not decided on the issue that there was no refund under the order made u/s 143(1) and therefore, provisions of section 234D is not applicable at all and has also not dealt with the applicability of the jurisdictional High Court's decision rendered in the case of CIT vs Ramco Industries in Tax Case No.1343/09. In the above decision it was held that if no refund is grant....

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....ppeal and the order has been rendered on this issue regarding chargeability of interest u/s 234D in favour of the assessee and therefore, there cannot be any occasion to file rectification petition u/s 254(2). It was also argued that there is no such mistake apparent from record as has ben contended from the side of the petitioner. After hearing both sides, we have noticed that under the provisions of section 254(2), the Tribunal is empowered to rectify any mistake at any time within four years from the date of the order in case such a mistake is brought to its notice by either parties or even if it is noticed suo motu by the Bench. Accordingly, we proceed to decide the impugned issue ignoring the legal objection. On merits, it has been not....

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....the facts of the case and submissions of the ld. AR. The A.Y presently under appeal is A.Y 2002-03. The provisions of section 234D were introduced into the statute w.e.f 1.6.2003. It has been held in ITO vs Ekta Promoters Pvt. Ltd (2008) 113 ITD 719 (Delhi)(SB) that provisions of section 234D which have been brought on statute from 1.6.2003 will have application only with effect from A.Y 2004-05 and therefore, interest under section 234D cannot be charged for earlier years even though regular assessment for those years were framed after 1.6.2003 or refund was granted for those years after said date. Further, in the case of Oracle India (P) Ltd vs The Dy. CIT, 118 TTJ (Delhi) 812 also it was held that interest under section 234D is chargeabl....