1995 (11) TMI 120

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.... year 1989-90. 2. On facts, return due to be filed on the 31st of August, 1989 was filed by the assessee on the 20th of March, 1990. Assessment was completed under section 143(3) at an income of Rs. 84,220 as against an amount of Rs. 18,200 returned by the assessee. 3. Subsequently vide a rectification order passed under section 154 of the IT Act, 1961, the Assessing Officer holding that the....

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....m record within the meaning of section 154 of the I.T. Act, the learned counsel for the assessee vehemently contended that there being no mention about the chargeability of such interest in the assessment order there was no legal scope under which interest could have been directed to be charged under rectification proceedings. While in support of their case, the ld. D.R. placed reliance on a decis....

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....every month or part of a month on the amount of tax on the total income determined as reduced by the advance tax and tax deducted at source, if any. It is, therefore, not correct to say that the lapse on the part of an Assessing Officer to charge interest under section 234A where it is chargeable (about which there is no dispute in the present case), the mistake is not apparent from record. 7. ....

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.... facts of the cited case inasmuch as both under sections 139(8) and 234A the charging of interest is mandatory. In view of the aforesaid, we are of the considered opinion that the view taken by the learned Dy. CIT(A) is not legally correct. Charging of interst under section 234A being mandatory and imperative, we are unable to agree with the reasoning advanced by him that the Assessing Officer fai....