2009 (7) TMI 119

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....t case justified in deleting interest under Section 234A & B of the Income Tax Act, 1961 even when ITNS 150 accompanying the assessment order computed the liability towards interest under the said Act?" Having heard the counsel for the parties at length, we find that this question actually does not arise for consideration in the instant appeal. This will become clear from the order passed by the Commissioner of Income Tax (Appeals) dated 27.02.2001, wherein he observed as under:- "3. In the written submissions, additional ground of appeal relating to the levy of interest u/s. 234 A and 234 B on the tax on the returned income instead of assessed income was urged to be allowed to be taken up. As its omission was not willful, it is taken....

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....e interest under Sections 234A & 234 B is to be computed on the basis of returned income or assessed income, went into the question of chargeability of interest in the present case when there was no specific mention of charging of interest in the assessment order though it was mentioned in the computation in Form ITNS 150. The Tribunal followed the decision of this Court in the case of Commissioner of Income Tax v. Insilco Ltd: 261 ITR 220 which held that if there is no specific direction in the assessment order passed by the Assessing Officer with regard to chargeability of interest under the said provisions, then the levy of interest would be bad in law. The Tribunal also noted that this Court had followed the decision of the Supreme Cour....

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....re it was different from what the Tribunal had ultimately decided. To understand the exact extent of the controversy before the Tribunal, it would be necessary for us to examine the grounds of appeal before the Tribunal. The learned counsel for the revenue states that the copy of the grounds of appeal would be filed before the next date of hearing. Renotify on 27.03.2009." 2. The learned counsel for the revenue has not filed a copy of the grounds of appeal taken before the tribunal. However, Mr Prakash Kumar, who appears on behalf of the respondent / assessee, states that against the order of the Commissioner of Income-tax dated 27.02.2001, which was the subject matter of the impugned order, the assessee has also preferred an appea....