TaxTMI 
TaxTMI 
2024 (4) TMI 805
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....sioner of Income Tax, partly rejecting the prayer of the petitioner for waiver of interest under Sections 234A, 234B and 234C of the Income Tax Act, 1961. 2. The dispute in the present case pertains to the following Assessment Years:- Assessment Year Due date for filing return of income Due date for getting accounts audited Date of Audit Report Return filed on 2005-06 31.10.2005 31.10.2005 14.07.2009 03.08.2009 2007-08 31.10.2007 31.10.2007 18.12.2009 31.12.2009 2008-09 31.10.2008 31.10.2008 10.03.2011 31.05.2011 2009-10 31.10.2009 31.10.2009 30.04.2011 02.04.2012 3. By the impugned order, the first respondent has granted partial waiver of interest insofar as i....
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....ue to the financial stress faced by the Stores, more than 60 employees were deputed / transferred to other Co-operative Institutions. That apart, it is submitted that the employees' dues of about 1.40 Crores payable to the retired / deputed / transferred employees were still pending as on 31.03.2019. It is further submitted that a loan of Rs. 16 Lakhs due to the Tamil Nadu Government was still pending from the year 2001. It is further submitted that statutory funds of Rs. 70 Lakhs as prescribed by the Tamil Nadu Co-operative Societies Act, 1983, such as Co-operative Education Fund, Co-operative Development Fund payable to the Cooperative Union was still pending and therefore, it is submitted that the first respondent should have exercis....
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....l for the respondents also would refer to the decision relied by the learned counsel for the petitioner in Tvl.Sanmac Motor Finance Ltd. case [cited supra]. 11. The learned Senior Standing Counsel for the respondents has also placed reliance on the decision of the Hon'ble Supreme Court in Commissioner of Income Tax, Mumbai vs. Anjum M.H. Ghaswala and others, 2002 (1) SCC 633. Particularly, a reference was made to Paragraph 33 of the said judgment. The learned Senior Standing Counsel for the respondents has also placed reliance on the decision of the Bombay High Court in De Souza Hotels (P.) Ltd. vs. Chief Commissioner of Income Tax, [2012] 207 Taxman 84 (Bombay) : [2012] 253 CTR 541 (Bombay), which was affirmed by the Hon'ble Sup....
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....n courts are avoided by resorting to settlement of cases. In this process, an assessee cannot expect any reduction in amounts statutorily payable under the Act. While the Settlement Commission arrives at the taxable income of the assessee on the basis of records available before it, it has to levy the mandatorily chargeable tax on such income arrived at by it and wherever interest is due under the mandatory provisions like Sections 234-A, 234-B and 234-C, it has to include the said interest also in the settlement. But, at the same time, the assessee who because of his non-disclosure would otherwise have been liable for various penal actions, gets an opportunity of getting immunity from penal proceedings. It is to be seen that under Section ....
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....ent as the 1st respondent is bound by the above notification though the petitioner company was ordered to be wound up by an order dated 18.06.2001 in C.P.No.323 of 1998. 21. Though the notification has not considered the above situation, I am of the view that the petitioner is entitled for a partial relief for the above reason dehors the above notification. The date of winding up dates back to the date of petition and during the aforesaid period, there was a legal disability to pay the tax by the company as the official liquidator obtained leave of the company court under the Companies Act, 1956. 22. Since the 1st respondent has no power to grant waiver of interest in the light of the specific instruction of the Central Bo....
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....serves to be waived and therefore, this Writ Petition deserves to be allowed to that extent. 16. As far as the interest under Sections 234B and 234C of the Income Tax Act, 1961 are concerned, they pertain to belated payment of advance tax under Section 210 within the stipulated period under Section 211 of the Income Tax Act, 1961. In my view, no case is made out by the petitioner for waiver of interest notwithstanding the reason stated by the petitioner in the affidavit. CBCT Circular No.400/129/2002-IT(B), dated 26.06.2006, does not specifically deal with waiver of interest under Sections 234B and 234C of the Income Tax Act, 1961. 17. There were no impediments operating against the petitioner from paying the advance tax within the ti....