TMI Blog2014 (12) TMI 1193X X X X Extracts X X X X X X X X Extracts X X X X ..... ow covered by the decision of the Hon'ble Bombay High Court in the case of Stock Holdings Corporation of India (2014 (11) TMI 899 - BOMBAY HIGH COURT ), wherein held that tax paid on self assessment would fall within the ambit of section 244A(i)(b). Accordingly the AO is directed to grant interest u/s 244A on the self assessment tax. - Decided in favour of assessee Working of interest u/s 244A while granting refund to the assessee - Held that:- The assessing officer should examine the working of refund and interest afresh, keeping in view the ratio laid down by the Hon'ble Delhi High Court in the case of India Trade Promotion Organization Vs. CIT (2013 (9) TMI 451 - DELHI HIGH COURT). The assessee can submit its own working, which can be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt tax. The assessee is a nationalized bank and in this year, the assessment was completed u/s 143(3), vide order dated 29.03.2005, whereby income was assessed at ₹ 15,09,60,13,850/-. The said order was subject matter of appeal before the Ld.CIT(A). After giving effect to the order of CIT(A) and while granting refund, the assessing officer did not grant interest u/s 244A on the self assessment tax paid by the assessee. Aggrieved by that, assessee filed a petition for rectification u/s 154 to grant interest. However, the assessing officer did not accept the assessee's contention that interest on self assessment tax is not payable within section 244A. The Ld.CIT(A) however, directed the AO to look into the matter and decide the issu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (i)(b). Accordingly the AO is directed to grant interest u/s 244A on the self assessment tax. Thus ground no. 1 as raised by the assessee is treated as allowed. 6. In Ground no. 2, the assessee has challenged the working of interest and the manner in which refund has been adjusted by the assessing officer as not correct. Ld counsel submitted that the assessing officer while granting interest on refund and while making the adjustment, of refund, has made the entire adjustment on account of interest and not against the amount of tax. When the AO did not pay the full amount of refund but a part of refund then he was liable to calculate interest on the balance amount of outstanding demand consisting of tax and interest. He also submitted wor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding giving therein, the department ground is treated as dismissed. 10. In the result, the appeal filed by the Assessee is partly allowed for statistical purpose and the Revenue is dismissed. Appeal for A.Y. 2002-03 and 2006-07, 11. In these appeals, only one issue is raised which is similar to ground no. 2, raised by the assessee in the appeal for A.Y. 2003-04. Thus, in view of the finding given therein, the said issue is also set aside to the file of the AO to examine the working of interest and refund and decide the issue in view of the decision of the Delhi High Court in the case of India Trade Promotion Organization Vs. CIT (supra). Accordingly the grounds raised by the assessee in both the years are treated as partly allowed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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