9911796707
TMI Blog1991 (9) TMI 115X X X X Extracts X X X X X X X X Extracts X X X X ..... ts and in the circumstances of the case, the Dy. CIT(A) erred in holding that interest under s. 215 was chargeable in each case though there was no specific direction in the orders of regular assessment or the orders made under s. 154 of the Act. 2. The factual backdrop of the case is that an assessment under s. 143(1) was made in each case determining the total income at a particular figure. W ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at interest under s. 215 had been charged. This was challenged in appeal by these parties before the Dy. CIT(A). He has, however, held that the action of the Assessing Officer in charging interest is in conformity with the provisions of s. 215(3) of the Act. Therefore, the appeals were dismissed. 4. We have considered the rival submissions carefully and have gone through the relevant provisions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d or reduced, as the case may be, the interest shall be increased or reduced accordingly. We find that in the case of CIT vs. Executor of the Estate of Late H.H. Rajkuverba Dowager Maharani Sahab of Gondal vs. CIT (1978) CTR (Kar) 347 : (1978) 115 ITR 301 (Kar), the Karnataka High Court has held that, "regular assessment" as defined in s. 2(40) of the Act means the assessment made under s. 143 or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssment is made. We have also taken into consideration the ratio of the judgment of the Punjab and Haryana High Court in the case of CIT vs. Oswal Woollen Mills (1989) 179 ITR 88 (P H) wherein their Lordships have held that in order to calculate the interest payable under s. 214 of the Act, the income as finally determined by the AAC could not be taken into account. The judgment of the Bombay High ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nterest under s. 215 in the regular assessment and interest can, on the law as enunciated in these judgments, be charged on the total income in the regular assessment order. In the case before us even in the order under s. 154 there is no direction for charging of interest under s. 215. Charging of interest under s. 154 to our mind may not be justified on the total income determined in this order ..... X X X X Extracts X X X X X X X X Extracts X X X X
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