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TMI Blog2015 (10) TMI 1466X X X X Extracts X X X X X X X X Extracts X X X X ..... under section 234C of the Act and not as advance tax and further held that the issue cannot be considered as debatable. The payment of taxes in Mauritius (Rs. 1,60,31,359/-) on 10.9.2004 i.e. after the end of the financial year 2003-04 cannot be considered as advance tax. It makes 'no difference, under what circumstances the taxes were paid. Since the taxes were paid after 31st March of the relevant financial year (F.Y. 2003-04) the said payment can only constitute the self assessment taxes. When the statute clearly provides that all the payments made after the 31st March of the financial year are self assessment taxes, and therefore the issue cannot be considered as debatable. Mere argument for the sake of argument cannot make the clea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssed order under section 154 of the Act on 30.03.2011 treating such payment of advance tax made on 10.09.2004 as self-assessment tax since it was paid beyond the financial year and accordingly calculated interest under section 234C of the Act. Against this order, the assessee preferred appeal before the Commissioner of Income Tax (Appeals) contending that entire income of the assessee accrued in Mauritius from the activity of permanent establishment in Mauritius and hence no part of the profit of permanent establishment in Mauritius is taxable in India. The assessee paid tax in Mauritius in time and therefore cannot be considered as assessee in default. Insofar as payment of advance tax is concerned, the assessee contended that entire incom ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e by the assessee or can it be a self-assessment tax as was considered by the Assessing Officer. 6. In the grounds of appeal, assessee though raised grounds in respect of section 234B in para 3.1 to 3.5, no arguments have been advanced and therefore, these grounds are dismissed as not argued. 7. The Commissioner of Income Tax (Appeals) has considered the submissions of the assessee and the averments of the Assessing Officer elaborately and held that amount paid by the assessee has to be considered as selfassessment tax for the purpose of computing interest under section 234C of the Act and not as advance tax and further held that the issue cannot be considered as debatable observing as under:- 5.5 I have considered the appellant& ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 's claim of advance tax) has lead to levy of interest u/s 234C of the Act. 5.7 The provisions of See 234C of the Act provide for levying of interest if the appellant fails to pay the tax within the specific periods contained in the financial year. The provisions clearly recognized the nature of payments of various taxes before determining the interest u/s 234C of the Act. As per the provisions of Sec. 234C, advance tax means, taxes paid or deemed to have been paid on or before 31st March of the financial year. Any payment made by the appellant after 31st March of the financial year, irrespective of its nature, cannot be considered as an advance tax. Such payments clearly form self assessment taxes. These issues are clearly and una ..... X X X X Extracts X X X X X X X X Extracts X X X X
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