TaxTMI 
TaxTMI 
2007 (3) TMI 182
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.... It is engaged in the business of marketing silk sarees produced by its members. It provides credit facilities, provides godowns on hire to the members, showroom facilities etc. It is stated that in the year 1991, the Income Tax Department took the view that the petitioner was not entitled to have the benefit of exemption under Section 80P(2) of the Income Tax Act. 3. The assessment was completed, denying the exemption under Section 80P (2). The successive appeals to the appellate authorities resulted in a rejection. Thereafter, the assessee preferred an application for reference to this Court under Section 256(2). This Court directed the Tribunal to decide the case and it is stated that the same is pending.....
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....eet for the year 2000-01 showed the balance at Rs.5,92,762/- and investment in shares and in bank. Hence, it could not be viewed that there is difficulty in payment of interest. However, taking note of the fact that the assessment was completed after one year from the date of filing and the notice under Section 143(2), interest attributable to the period 26.4.1996 to 5.11.1998 was waived. 5. Aggrieved by this, the petitioner preferred a petition for review and once again impressed on the fact that due to the severe financial crisis, the petitioner met the Chairman of the Central Board of Direct Taxes, under whose advise, the petitioner went in for the Kar Vivad Samadhan Scheme, that they had no fixed assets; the society....
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....d stated that under Rule 117-A, the request for waiver or reduction of interest could be considered in the following circumstances, namely : (i) where the return of income is furnished by a person who has been treated under Section 163 as an agent of non-resident and is assessed in respect of latter's income; (ii) where the return of income is furnished by an assessee whose only source of income during the relevant previous year is a share in the income of an unregistered firm which has been assessed on its total income in respect of that previous year under clause (b) of section 183; (iii) where the return of income of a deceased individual is furnished by his legal representative and the legal representative satisfies the (....
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....for non-compliance of notice for the assessment years 1986-87 and 1987-88. He pointed out that the plea of the petitioner centered only on financial hardship. He viewed that the case of the assessee/petitioner did not fall for consideration under the conditions listed in the rules. He further viewed that the second respondent had already considered the waiver as regards the portion of interest in terms of Rule 40(5). In the absence of any exceptional circumstances shown and there being no valid reason, quoting the decisions reported in 214 ITR 364 (PRATAP SINGH CHANDRA SINGH vs. CIT) and 234 ITR 227 (SANTHOSH ELECTRICALS Vs. ITO), the first respondent, rejected the prayer for waiver and thereby confirmed the or....
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....Rule 40 also provides under Sub Rule (5) that the Commissioner may consider the circumstances which would warrant a reduction or waiver of interest payable under Section 215 of the Act. The assessee submits that considering the financial crunch and the issue on liability remaining uncertain at that point of time, the authorities ought to have considered the prayer favourably. He pointed out that for the assessment years 1982-83 and 1983-84, the prayer for waiver was considered to grant a reduction of fifty per cent only. He further pointed out that the petitioner had satisfactorily explained the doubt of the Additional Commissioner as regards the investment in shares and in banks as well as the balance available. Con....