9911796707
TMI Blog1979 (12) TMI 17X X X X Extracts X X X X X X X X Extracts X X X X ..... as the competent Commissioner dealing with the case of the petitioner at that time, giving the basis for an overall settlement for all the tax liabilities including the penalties with respect to the concealed income of the petitioner relating to the years 1961-62 to 1968-69. Copy of the said application is annex. P-1 with the writ petition. In the said application, cl. 2(ix) is as follows : " 2. (ix) In regard to payment of taxes as a result of this settlement we undertake to pay Rs. 75,000 by the end of April, 1970, and the balance demand will be paid in instalments of Rs. 20,000 per month starting from May, 1970. We further undertake to dispose of our property at Bombay (namely, Maharaj Bhawan) as early as possible, the entire sale proc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the lapse of 3-5 days of the service of the notice under s. 156 of the Act. After hearing the learned counsel for the parties, we are of the opinion that there is no merit in this petition. We have carefully scanned through the provisions of the Act and we find that the interest chargeable under s. 139(8) of the Act can be reduced or waived in view of the provisions of the Act read with r. 117A of the I.T. Rules (hereinafter referred to as " the Rules "). Similarly, the interest chargeable under the provisions of ss. 214, 215, 216 and 217 of the Act can be reduced and waived in view of the provisions of the Act read with r. 40 of the Rules. The provisions of s. 220(2) of the Act are mandatory. Under the provisions of sub-s. (3) of s. 220 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ook to pay a sum of Rs. 75,000 by the lend of April, 1970, and the balance of demand by instalments of Rs. 20,000 per month starting from May, 1970. The assessee further undertook to dispose of their property at Bombay as early as possible and agree that the entire sale proceeds of the property would be paid towards the settlement demand. While construing this clause of the settlement, it cannot be successfully contended that the Commissioner agreed not to claim interest as postulated under sub-s. (2) of s. 220 of the Act. In view of the settlement arrived at, the ITO passed orders of assessment pertaining to the assessment years in dispute and served notice on the assessees for making the payment. After the service of the notice payment of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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