TaxTMI 
TaxTMI 
2019 (11) TMI 601
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.... to the petitioner, the impugned order is bereft of jurisdiction. 2. The trajectory of the matter is that as against the order of the Settlement Commission dated 28.12.1995 passed under section 245D(4) of the Act, the Revenue had filed a petition for Special Leave before the Supreme Court. The Bench, in Civil Appeal Nos.3593 and 3594 of 2000 dated 12.11.2002 in Vimala Traders and M/s.Modern Arecanut Co. passed the following order: 'In all these appeals the revenue has questioned the authority of Settlement Commission to either waive the statutory interest or reduce the same. This Court in the case of Commissioner of Income Tax, Mumbai vs. Anjum M.H.Ghaswala & Ors. reported in 2002(1) SCC 633 has held that the Settlement Commission in....
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.... of assumption of jurisdiction by the Settlement Commission in terms of Section 154 of the Act has been considered by a Division Bench of the Supreme Court in the case of Brij Lal and others V. Commissioner of Income Tax ((2010) 328 ITR 477) and the Bench states as follows: III. Whether the Settlement Commission can re-open its concluded proceedings by having recourse to Section 154 of the Act so as to levy interest under section 234B, if it was not done in the original proceedings? 15. As stated, proceedings before Settlement Commission are similar to arbitration proceedings. It contemplates assessment by settlement and not by way of regular assessment or assessment under section 143(1) or under section 143(3) or under section 144 of t....
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....or assessment under section 143 or under section 144 or under section 147 [see section 245C(1B)]. The point to be noted is that in computation of additional income tax payable by the assessee, there is no mention of section 154. On the contrary, under section 245I the order of the Settlement Commission is made final and conclusive on matters mentioned in the application for settlement except in the two cases of fraud and misrepresentation in which case the matter could be reopened by way of review or recall. Like ITAT, the Settlement Commission is a quasi-judicial body. Under section 254(2), the ITAT is given the power to rectify but no such power is given to the Settlement Commission. Thus, we hold that Settlement Commission cannot reopen ....
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....], a 3- Judge Bench of this Court, by majority, held that where, upon the Order of the Settlement Commission under section 245D(4), there arises a deficit in the payment of advance tax under section 208, the end point or the terminus of the period for which interest has to be paid under section 234B on the deficit is the date on which the Settlement Commission passes the order under section 245D(4). This decision was delivered on 17.12.2002 after the judgment of this Court in Ghaswala (supra). On the same day, the same Bench in the case of Damani Brothers (supra) held that interest charged under section 234B becomes payable on the income disclosed in the return and the income disclosed before the Settlement Commission; that, such interest....