9911796707
TMI Blog1980 (2) TMI 107X X X X Extracts X X X X X X X X Extracts X X X X ..... re that the original assessment in this case was completed on 31st Jan., 1971 when the tax as per assessment was determined at Rs. 10,65,666 and on the completion of the assessment, the assessee was allowed interest under s. 214 of the IT Act, 1961, for the period from 1st April, 1969 to 31st Jan., 1971. This amount worked out to Rs. 3,623. The assessee being not satisfied with the assessment framed by the ITO, preferred appeals to the AAC of IT as also with the Tribunal. The assessee having got some relief, the tax on the finally determined total income worked out to Rs. 10,00,080. The assessee prayed for enhancing the amount of interest payable to the assessee under s. 214 of the Act, on the basis of tax as was finally determined and redu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve contended that the appellate order passed by the appellate authorities having merged with the original assessment order, s. 154 of the Act did not apply on the facts of the assessee's case, and accordingly, the CIT in granting relief to the assessee has not only mis-conceived the facts of the case but also misdirected himself in law. Shri Balasubramanian further contended that the facts of the assessee's case were covered under chapter XIX of the Act, which chapter deals with refund and accordingly the interest should be allowed to the assessee only under the authority of s. 244 of the Act, if and when applicable. 4. On his part, Shri R.K. Mahto, learned counsel for the assessee, relied upon, the ratio of the decision of the Hon'ble C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... made an order which he has termed as `revised assessment' order under s. 250/254. The said order is dt. 18th April, 1974 and reads as under. "Revised Assessment Order Under s. 250/254 18th April, 1974 Name : The Bank of Tokyo Ltd. GIR No. 11-000-OY-6373 Asst. yr. 1969-70 The assessment in this case has been reducted by the Order No. 418-42 (Cal) of 1972-73 dt. 31st May, 1973 of the Tribunal `F' Bench, Calcutta Revised total income as under: Income before deduction . Rs. under s. 37(2) as per order dt. 28th April, 72 . 12,78,963 Less: Relief allowed by . . Tribunal . 9,452 Property Tax. . 12,69,511 Less: Deduction under s. 3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed order dt. 18th April, 1974 the tax position remains as under: Total tax as per revised order Rs. 10,04,080 Less: Tax deducted at source Rs. 6,25,141 Balance Rs. 3,78,939 Less: Tax paid under s. 210 Rs. 4,94,394 Tax paid in excess Rs. 1,15,455 Interest at the rate of 9 per cent for the period 1-4-1969 to 31-1-1971 Rs. 19,102 Less: Refunded vide order dt. 31-1-71 Rs. 3,623 Balance refundable Rs. 15,479 Kindly issue the necessary refund orders at the earliest." 7. The IAC refused to grant enhanced interest payable to the assessee under s. 214 of the Act on the ground that the interest has been rightly calculated, since s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt as contemplated by s. 214(1) should be the assessment made by the ITO initially or the first assessment made by the ITO if there is no appeal therefrom, but in a case where there is an appeal, the order passed by the ITO finally to give effect to the decision if any, of the appellate authority. Having regard to the scheme of the Act and the context in which the expression has been used, regular assessment under s. 214 would include in the particular facts and circumstance of the case an assessment made by the ITO pursuant to the direction of the AAC. 9. The facts in dispute before his Lordship of the Calcutta High Court were exactly the same as are before us in the present appeal by the Revenue. We cannot add usefully anything to the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
