TMI Blog2013 (12) TMI 316X X X X Extracts X X X X X X X X Extracts X X X X ..... ation by the AO - The ultimate amount of tax credit to be allowed will be dependent upon the final determination of the total income for the first assessment year - There is no provision under Section 115-JAA which postpones the right of the assessee to claim set-off to the determination of the total income by the AO in the first assessment year - Entitlement/right to claim set-off is different fr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of charging of interest under Section 234B and C on the MAT credit under Section 115JAA of the Act. The issue is covered against the Revenue and in favour of the assessee by decision of the Supreme Court in Commissioner of Income Tax Vs. Tulsyan Nec Ltd. (2011) 330 ITR 226 wherein it has been held as under:- "9. We have discussed hereinabove the scheme of Section 115-JA(1) and Section 115- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... different from the quantum/quantification of that right. Entitlement of MAT credit is not dependent upon any action taken by the Department. However, quantum of tax credit will depend upon the assessment framed by the AO. Thus, the right to set-off arises as a result of the payment of tax under Section 115-JA(1) although quantification of that right depends upon the ultimate determination of tota ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t and thereafter claims a refund of such advance tax paid as a consequence of the set-off. Moreover, when an AO makes an intimation under Section 143(1) he accepts the return filed by the assessee to which the AO may make an adjustment and consequently makes a demand or refund. Section 143(1) provides that where a return is made under Section 139 and if any tax or interest is found due on the basi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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