2016 (8) TMI 1570 - HC - Income Tax

Payment of tax with interest - petitioner has admittedly paid the tax amount, and the balance amount is relating to interest only - Since the petitioner has shown taxable income and paid tax thereon, he is entitled to get the benefit of waiver - Application before the first respondent/Chief Commissioner of Income Tax, Tiruchirapalli till date has not yet been considered - HELD THAT - Considering the fact that original assessment order was passed on 30.01.2015 and in compliance of the same, the petitioner has already paid the tax and moved an application on 06.04.2015, this Court, in the interest of justice of both parties, directs the Officer, who is given full charge of the Chief Commissioner to Income Tax, to consider the application filed by the petitioner, on 06.04.2015, on merits and in accordance with law, within a period of four months from the date of receipt of a copy of this order. Till then, the impugned order shall be kept in abeyance.

Summary

Issues:
1. Impugned proceedings by Income Tax Officer directing payment of a specific sum.
2. Petitioner's claim for waiver of interest amount.
3. Delay in consideration of petitioner's application by Chief Commissioner of Income Tax.
4. Respondent's submission regarding the appointment of an officer to consider the application.
5. Court's decision on granting time for consideration of the application and keeping the impugned order in abeyance.

Analysis:
1. The petitioner challenged the proceedings issued by the Income Tax Officer directing payment of a specific sum. The petitioner had paid the tax amount but disputed the balance amount related to interest only. The petitioner sought the benefit of waiver due to showing taxable income and paying tax. The petitioner's application for waiver had not been considered due to the absence of a Chief Commissioner of Income Tax in Tiruchirapalli. The impugned order was passed during this period.

2. The respondent argued that a senior officer had been appointed to handle the responsibilities in the absence of the Chief Commissioner of Income Tax. The respondent agreed to consider the petitioner's application on merits and in accordance with the law but requested a reasonable time for the same.

3. The Court considered the timeline of events, noting that the original assessment order was passed in January 2015, and the petitioner had already paid the tax amount. In the interest of justice, the Court directed the Officer in charge of the Chief Commissioner of Income Tax to consider the petitioner's application within four months from the date of the Court's order. Until then, the impugned order was to be kept in abeyance.

4. The Court disposed of the writ petition with the direction for the consideration of the petitioner's application within the specified timeline. No costs were awarded in the matter.

This judgment highlights the importance of timely consideration of applications related to tax matters and the Court's intervention to ensure justice for both parties involved.