TMI Blog2005 (5) TMI 35X X X X Extracts X X X X X X X X Extracts X X X X ..... Modi Industries Ltd.'s case correctly arrived at the conclusion that interest is to be allowed to the assessee u/s 244(1A) on "tax refundable" as a result of any appeal or any order till the granting of the refund excluding the period of one month. On the facts, the findings recorded by the Income-tax Appellate Tribunal are final and in any case they cannot be stated to be perverse on any ground - no question of law much less a substantial question of law arises - - - - - Dated:- 5-5-2005 - Judge(s) : SWATANTER KUMAR., MADAN B. LOKUR JUDGMENT The judgment of the court was delivered by Swatanter Kumar J.-By this judgment, we shall dispose of the above six income-tax appeals preferred by the Revenue. For the purposes of brevity, we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vision under the Income-tax Act which allows interest on refund relating to excess payment of self-assessment tax from the date of its payment to the date of completing the regular assessment, and thus the application was rejected. In relation to the refund of Rs. 2,03,29,841, the assessee was allowed further refund of Rs. 1,20,72,447. This refund was also adjusted for the demand for the year 1988-89. While relying upon the decision of the Supreme Court in the case of Modi Industries Ltd. v. CIT [1995] 216 ITR 759, interest was allowed to the assessee under section 244(1A) and was computed to the extent of Rs. 57,18,478. This order of the Deputy Commissioner of Income-tax dated October 26, 1998 was challenged by the assessee before the Comm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... justed and thus the refund was made in part only. It also held that there was no reason as to why on such facts, it would be assumed that the principal amount of refund stood adjusted and interest under section 244(1A) remained unpaid. They further allowed interest to the assessee for the period after July 25, 1991, and restricted it to refundable amount refunded to the assessee as on that date and declined to interfere in the orders passed by the Commissioner (Appeals). It is this order of the Income-tax Appellate Tribunal, the legality and correctness of which is challenged in this appeal under section 260A of the Income-tax Act and on the questions of law aforereferred. The main grievance of the Revenue is that the Income-tax Appellate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at unless an order of assessment is made again by the Assessing Officer, the assessee would be entitled to no interest under any circumstances, hardly has any merit. It was contended that interest under section 244(1A) of the Act was justifiable first/simultaneously against the demand of the assessee for the assessment year 1988-89 and then the principal amount and the refund of tax found in excess and the assessee was entitled to interest up to the date as the amount remained with the Revenue for all this period. Upon filing of the application by the assessee under section 154 of the Act, it was claimed that interest in respect of tax paid by the assessee on different dates which are subsequently found refundable in its entirety. The appel ..... X X X X Extracts X X X X X X X X Extracts X X X X
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