2002 (8) TMI 6 - HC - Income Tax

Revenue challenging the order passed by the Tribunal deleting the interest charged under sections 234B and 234C - held that notice of demand claiming interest can be issued only when there is order in the assessment order levying interest. - Admittedly in the present case there is no direction in the assessment order for charging of interest under sections 234A and 234B Thus no question of law much less a substantial question of law arises from the order of the Tribunal. - appeal dismissed

Summary

The High Court of Delhi dismissed the Revenue's appeal challenging the deletion of interest charged under sections 234B and 234C of the Income-tax Act, 1961 by the Income-tax Appellate Tribunal. The Tribunal's decision was based on Supreme Court rulings affirming that interest can only be charged if specified in the assessment order. The Court found no substantial question of law and upheld the Tribunal's decision.