9911796707
TMI Blog2007 (10) TMI 320X X X X Extracts X X X X X X X X Extracts X X X X ..... been held to be null and void. 2. Briefly stated the facts relating to the issue are that the an assessment under s. 147 was framed by the AO vide order dt.14th March, 2002at an income of Rs. 70,47,356, against which an appeal was preferred by the assessee before Tribunal and the Tribunal vide order dt.29th Sept., 2004annulled the assessment framed against the assessee. Shri Rohtas, in the status of Rohtas (HUF). Thereafter, the assessee moved an application under s. 154 before the AO alleging therein that the effect of the said order passed by the Tribunal was that a sum of Rs. 4 lakhs paid by the assessee as HUF, in pursuance to the directions of the Tribunal in the stay petition, was refundable with interest to the assessee HUF, which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... T Circular No. 551 dt. 23rd Jan., 1990 [(1990) 82 CTR (St) 325] which deals with amendment in s. 240 w.e.f. 1st April, 1989, that only tax is chargeable on the total income returned by the assessee and it nowhere states that interest under ss. 234A, B and C should be recovered from the assessee. Further, that payment was made against the demand created in status of HUF and no income is taxable in the hands of HUF and as such no tax was payable by the assessee in the status of HUF. Since no tax is payable by assessee in the status of HUF, the question of recovering interest under ss. 234A, B and C do not arise at all. It is further submitted. that the amount was deposited in accordance with directions of Tribunal, which were issued on the re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... considered the rival submissions and from a careful perusal of the record and judgments referred to by the parties, we find that admittedly the notice under s. 148 and other notices under ss. 143(2) and 142(1) of the IT Act, 1961 were issued upon the assessee in the status of an individual. During the course of hearing, the learned counsel for the assessee has also invited our attention to the reasons recorded and from its perusal it appears that the reasons were also recorded in the case of assessee individual. In response to notice under s. 148 return was also filed in the status of an individual. We have also carefully examined the impugned letter dt. 14th March, 2002 on which the Revenue has placed heavy reliance and we find through thi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l in the case of Dharam Singh (HUF) vs. ITO in which identical issue was examined by the Tribunal and the Tribunal, after relying upon the various judgments, knocked down the entire assessment, being not framed in proper hands. Keeping in view the facts and circumstances of the case and in the light of legal propositions, we have no hesitation to hold that the assessment was not properly framed and we, therefore, annul the same, being null and void." 9. This is also an admitted fact that the assessee (HUF) had deposited a sum of Rs. 4 lakhs in compliance with the interim order of this Tribunal dt.7th April, 2004. When the assessment framed on the HUF was annulled and held null and void, the tax deposited by the assessee (HUF) became refun ..... X X X X Extracts X X X X X X X X Extracts X X X X
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