9911796707
TMI Blog2019 (7) TMI 1202X X X X Extracts X X X X X X X X Extracts X X X X ..... not received by an Assessee on the date of issuance of the refund order. That date is usually a later date - in the present case, the Respondent has not disputed the fact that the refund amount was in fact received by the Petitioner only on 14th September, 2017. The Petitioner is entitled to interest on the refund amount issued by the order dated 25th August, 2017 for the period from 11th September, 2015 till 14th September, 2017. The said interest amount calculated in terms of Section 42 read with Rule 34 and 36 of the DVAT Rules will be credited to the Petitioner s account not later than 16th August, 2019. Petition disposed off. - W.P.(C) 12876/2018 - - - Dated:- 22-7-2019 - S. MURALIDHAR AND TALWANT SINGH JJ. Peti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e following Monday i.e. 13th July, 2015. It is further stated that on 11th September, 2015, a notice under Section 59(2) of DVAT Act was issued to the Petitioner and this was therefore within the period of two months as stipulated under Section 38 (3)(a)(ii) of the DVAT Act. 5. Section 38 (3) of the DVAT Act and Section 38(7) read as under: Section 38 (3) (3) Subject to sub-section (4) and sub-section (5] of this section, any amount remaining after the application referred to in sub-section (2) of this section shall be at the election of the dealer, either- (a) refunded to the person, (i) within one month after the date on which the return was furnished or claim for the refund was made, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ffect. In terms of 38 (3)(a)(ii) read with Section 38 (7) of the DVAT Act, the period for which interest will become payable would run from 11th September, 2015 itself. 8. The legal position has been clearly explained by this Court in its decision in IJM Corporation Berhard v. Commissioner of Trade and Taxes, 2018 (48) GSTR 102 (Del) in Para 15, where it was observed as under: 15. When we harmoniously read sections 38 and 42 of the Act, which relate to processing: of claim for refund and payment of interest, it is crystal dear that the interest is to be paid from the date when the refund was due to be paid to the assessee or date when the overpaid amount was paid, whichever is later. The date when the refund was due ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder subsection (1) of section 42, of this Act if as a result of the appeal or further proceeding, or any other proceeding he becomes entitled to the refund, Sub-section (1) gives power to the Commissioner, who may for reasons to be recorded in writing either obtain security equal to the amount to be refunded or withhold the refund till such time the proceedings or audit has been concluded. The said power can be exercised as prescribed and stipulated in sub-section (1). Sub-section (2) states that where refund is withheld under sub-section (1), the person would be entitled to interest if as a result of the appeal or further proceedings or any other proceedings, he becomes entitled to the refund. In other words, under sub-section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he date on which the refund is given: Provided that the interest shall be calculated on the amount of refund due after deducting therefrom any tax, interest, penalty or any other dues under this Act, or under the Central Sales Tax Act, 1956 (74 of 1956): Provided further that if the amount of such refund is enhanced or reduced, as the case may be, such interest shall be enhanced or reduced accordingly. Explanation : If the delay in granting the refund is attributable to the said person, whether wholly or in part, the period for the delay attributable to him shall be excluded from the period for which the interest is payable. (2) When a person is in default in making the payment of any tax, pena ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t received by an Assessee on the date of issuance of the refund order. That date is usually a later date. In the present case, as already noted, the Respondent has not disputed the fact that the refund amount was in fact received by the Petitioner only on 14th September, 2017. 14. In that view of the matter, it is held that the Petitioner is entitled to interest on the refund amount issued by the order dated 25th August, 2017 for the period from 11th September, 2015 till 14th September, 2017. The said interest amount calculated in terms of Section 42 read with Rule 34 and 36 of the DVAT Rules will be credited to the Petitioner s account not later than 16th August, 2019. It is further directed that if the said amount is not credited ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
