AI Drafter 
TaxTMI 
TaxTMI 
2018 (5) TMI 1007
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....khs. The Assessing Officer completed the assessment vied order dated determining the income of the assessee at Rs. 21, 189. 25 lakhs. 2. First ground of appeal is about charging of interest u/s. 234B of the Act. This is the second round of litigation. While deciding the appeal, vide order dated 12/06/2009 (ITA/1781/Mum/ 02), the tribunal had dealt with the issue of charging of interest u/s. 234B as under: 23. The grievance projected in Ground No. 4. 2 arises under the following circumstances:- The assessee paid a sum of Rs. 26 crores and another sum of Rs. 1, 96, 74, 366/- towards tax liability for A. Y. 1998-99 in the month of April and May 1998 respectively. The Assessing Officer while completing the assessment and ra....
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....ayable under any provisions of the act for delay in furnishing the return or any default or delay in payment of' advance tax. Proof of payment of such tax and interest is to be attached with the return. Further, an Explanation has been inserted in the said subsection (1) to clarify that where the assessee pays only part of the amount due at the time of filing the return, such payment first be adjusted towards the interest payable, and balance, if any shall be adjusted towards the tax payable. Section 234B and section 140A both are separate and independent sections of the Act. Section 234B(1) provides general situation of calculation of interest. The period for which interest under this section is leviable is form the 1st day of....
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....yable on the basis of the return to be furnished. At the time of filing return of income, Explanation to section 140A is required to be considered. The newly inserted (w. e. f, 1. 4. 1989) Explanation to section 140A(1) takes care of a situation where the amount paid by the assessee under section 140A(1) falls short of the aggregate of the tax and interest as mentioned therein. In such a situation, the amount, so paid is first to be adjusted towards the interest payable and the balance if any, is to be adjusted towards the tax payable. Therefore, the adjustment towards interest payable under section 234B(2) is to be considered only at the time of filing return of income, i. e. , when payment of self assessment tax under se....
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....red and made under specific section, that advance tax was paid u/s. 201-215, that the tax deducted at source was paid under chapter XVII of the Act, that SAT was paid u/s. 140, that interests u/s. 215, 220 and 234B was payable after taking into consideration the payment under those sections, that there was no category called ad hoc payment under the Act. He referred to the case of Jindal Exports Ltd. 314 ITR 137) of the Hon'ble Delhi High Court and held that interest was payable to the assessee under chapter XIX of the Act and u/s. 234D on the funds, that none of the sections refer to any category called otherwise, that words otherwise mentioned in section 234B (2) is in Contradistinction to payments made u/s. 140A, that the payments made o....
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.... the Tribunal correctly, that the facts of the case of Roshanlal S Jain were totally different, that in that matter payment was not made for section 234B interest. 6. We have heard the rival submissions and perused the material on record. We find that while deciding the appeal on 12/06/2009, the Tribunal had referred to the order of the Patson Transformers Ltd. (supra). It was specifically mentioned that interest was required to be calculated in accordance with section 234B (2)(i), on balance amount which was assessed to tax minus advance tax and ad hoc payment. In our opinion, that there was no ambiguity in the order of the Tribunal. It had mentioned ad hoc payment had to be taken into consideration while calculating the interest u/s....
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.... 9. Ground number two is about interest to be allowed to the assessee u/s. 244 of the Act. Before us, the AR stated that the AO and FAA have denied interest for the period from 03/10/20 to 29/11/2009, that there was no delay on part of the assessee, that the assessee had furnished all the details on 30/11/2009. Alternatively, he stated that even if there was delay on part of the assessee, it was only for 23 days. 10. We have heard the rival submissions. We find that while the assessee forwarded the copy of the order of the Tribunal dated 12. 06. 2009, that on 30. 10. 2009 the assessee received a letter from the AO, dtd. 23. 09. 2009 asking it to file necessary details for giving effect to the order of the details, that it filed the detai....