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Validity of notice under section 210 for advance tax payment and applicability of interest under section 215. Analysis: The case involved a question of law regarding the validity of a notice under section 210 for advance tax payment and the applicability of interest under section 215. The Income-tax Appellate Tribunal had to determine whether the notice under section 210 was valid and if interest under section 215 could be charged. The Tribunal had concluded that the notice was invalid and interest was not chargeable due to the cancellation of the assessment order on which the notice was based. The Tribunal relied on a previous case where a similar situation led to the notice being deemed invalid. Upon examination, the High Court considered the provisions of section 210, which required the Income-tax Officer to issue an order for advance tax payment based on a previous assessment. The Court noted that if the notice under section 210 was valid at the time of issuance, subsequent events like the cancellation of the assessment order did not render the notice invalid. In this case, the notice was issued when the assessment order was in force, and the assessee submitted the estimate without revision despite the cancellation of the assessment order. The Court emphasized that the notice under section 210 was not invalidated by the subsequent cancellation of the assessment order. The assessee's submission of the estimate based on the notice indicated acceptance of its validity. Therefore, the Court held that the Tribunal erred in deeming the notice invalid and in concluding that no interest under section 215 could be charged. The Court ruled in favor of the Revenue, upholding the validity of the notice under section 210 and the applicability of interest under section 215. In conclusion, the High Court clarified that the notice under section 210 remained valid despite the cancellation of the assessment order and upheld the applicability of interest under section 215. The Court's decision favored the Revenue and rejected the Tribunal's finding that the notice was invalid and interest could not be charged.
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