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TMI Blog2021 (5) TMI 4X X X X Extracts X X X X X X X X Extracts X X X X ..... on 244A(1)(b) of the Act on the self assessment tax from the date of payment of self assessment tax till the date of actual payment of refund. Hence, we direct the AO accordingly. - ITA No. 5994/Mum/2019 - - - Dated:- 16-3-2021 - Sri Mahavir Singh, VP And Sri S Rifaur Rahman, AM For the Appellant : Shri Sunil M Lala, AR For the Respondent : Shri. V.Vidyadhar, DR ORDER PER MAHAVIR SINGH, VP: This appeal of assessee is arising out of the order of the Commissioner of Income Tax (Appeals)]-20, Mumbai, [in short CIT(A)], in ITA No. CIT(A)-20/IT-10134/2018-19 dated 17.06.2019 for AY 2004-05. 2. The only issue in this appeal of assessee is against the order of CIT(A) upholding the order of the AO in not granting in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of mistake apparent from record rectifiable under section 154 of the Act. By giving these two reasons, the AO rejected the application of the assessee. Aggrieved, assessee preferred the appeal before CIT(A) and the CIT(A) confirmed the action of the AO and dismissed the assessee s appeal by stating that, firstly, the self assessment tax paid does not attract interest under section 244A(1) of the Act and secondly, the Department filed SLP before Hon ble Supreme Court, which is admitted and pending before Hon ble Supreme Court. Hence, according to him, the issue involved is contentious one, which cannot be rectified under section 154 of the Act and AO has rightly rejected the application of the assessee. Now, aggrieved assessee came up before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s tax paid on self assessment would fall under Section 244A(1)(b) of the Act, i.e. a residuary clause covering refunds of amount not falling under Section 244A(1) of the Act. The revenue contends that in the absence of tax on self assessment finding mention in Section 244A(1)(a) of the Act, no interest is payable under Section 244A(1) of the Act and Section 244A(1)(b) of the Act would have no application. This contention is opposed to the meaning of the provision disclosed even on a bare reading. If the tax paid is not covered by clause (a) of Section 244A(1), it falls within clause (b), which is a residuary clause. Besides, this contention stands negatived by the CBDT Circular bearing No.549 dated 31 October 1989 wherein reference is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and by way of the tax after noticing that there is likely to be shortfall in the taxes already paid. Thus this payment is considered to be a tax under the aforesaid provision. 8. The contention of revenue is that no interest at all is payable to the petitioner under Section 244A(1)(a) and (b) of the Act unless the amounts have been paid as tax. It would not cover cases where the payment is gratuitous as is evident from the fact that the petitioner in its computation after paying tax on self assessment of ₹ 2.60 crores seeks a refund of ₹ 47 lacs. According to him it has to be refund of amounts paid as tax. We find that Section 244A(1) of the Act commences with the word when refund of any amount becomes due to the as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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