9911796707
TMI Blog1989 (10) TMI 91X X X X Extracts X X X X X X X X Extracts X X X X ..... the such F.D.R. The claim of the learned counsel for the assessee, Shri Prakash Narain was that for the asst. yrs. 1979-80 and 1980-81 the assessment have been made as a consequence of notice issued under s. 147 to the assessee and, therefore, the assessments made cannot be said to be a regular assessment. He further pleaded that the loan was taken against the F.D.R. and was utilised for the purpose of marriage. The plea raised was that though this is a fact, it is only the net interest that should be brought to tax, for the assessee had adopted this procedure of taking loan only for the purpose of avoiding repayment of interest that has alredy been charged to tax, which might arise in the case of F.D.R. being encashed prior to the expiry ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d in view of various judicial pronouncements. 5. Shri Prakash Narain appearing for the assessee fairly conceded that after the Explanation that has been added to s. 2(14) by which Explanation they have specified that the term revenue earned from the agricultural land would not include the income arising from the transfer of the land. Therefore, the assessee cannot argue on the basis of that sale of agricultural land would also include agricultural land income, but, however, it remained to be ascertained whether it is capital asset within the meaning of S. 2(145) or not, for which purpose the matter needs to be examined by the first appellate authority. He pleaded that since this would require the examination of the first appellate authori ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which existed then. The amendment to levy of interest under s. 139(8) and 217 in respect of assessment made for the first time though under s. 147 was brought to the statue book only w.e.f.1st April, 1985. Therefore for the earlier assessments, interest under s. 139(8) and 217 could not be levied in respect of assessments that have been made for the first time under s.147. 9. The claim of the assessee is that it has challenged the very veracity of the levy of interest, and, therefore, is an appealable issue in view of the Supreme Court ruling in the case of CENTRAL PROVINCE MANGANESE ORE CO., LIMITED vs. CIT (1986) 58 CTR (SC) 112 : (1986) 160 ITR 961 (SC). The AAC would have been to decide this afresh in the light of the Supreme Court d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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