2008 (2) TMI 413 - HC - Income Tax

Application for waiver of interest - Chief Commissioner has declined petitioner s application for waiver of interest payable under sections 234B and 234C - the Chief Commissioner has pointed out that the petitioner has not satisfied any of the conditions for waiver referred to in the circular issued under section 119(2)(a) of the Income-tax Act 1961 - Commissioner noticed that the assessee made substantial investment in immovable property and in the construction of hospital building during the previous years which go to show that the assessee had liquidity to pay advance tax held that - original petition is dismissed as devoid of any merit

Summary

The High Court of Kerala dismissed the petitioner's challenge to exhibit P-7 order, which declined the waiver of interest under sections 234B and 234C for assessment years 1993-94 and 1994-95. The Chief Commissioner found that the petitioner did not meet the conditions for waiver as per the circular under section 119(2)(a) of the Income-tax Act, 1961. Additionally, the Commissioner noted that the petitioner had invested significantly in immovable property and hospital construction, indicating liquidity to pay advance tax. The original petition was dismissed for lacking merit.