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2015 (10) TMI 936 - AT - Income TaxRectification of mistake - adjustment of advance tax against the seized amount and the non chargeability of interest u/s 234B and 234C of the Act - maintainability of rectification appeal as was sought after the expiry of four years from the end of the financial year in which the assessment order was passed - Held that:- Undisputedly the application for rectification dated 19.09.2006 was not disposed of by the Assessing Officer by passing any speaking order. He, however, issued I.T.N.S.-150 totaling the computation of income along with interest. It is also clear from the record that after issuance of I.T.N.S.-150, the assessee approached the Commissioner and the Chief Commissioner vide his letter dated 20.09.2006 and on 13.04.2011 with a request of adjustment of the advance tax against the seized amount. In response to these letters, the CIT(A) and CCIT has called report from the Assessing Officer in which the Assessing Officer himself has admitted that I.T.N.S.-150 was passed on 18.09.2006. But he has not produced any order passed on the application filed u/s 154 of the Act. Therefore, it has become abundantly clear from the record that the Assessing Officer has not disposed of the application dated 19.06.2006 filed u/s 154 of the Act by passing speaking order. Thus, the rejection of succeeding application is not proper on the ground that these rectification applications were filed after four years from the end of the financial year in which the order was passed. Once the assessee makes the request for the adjustment of seized amount against the advance tax, the same should be accepted and after adjusting the advance tax against the seized amount no interest u/s 234A and 234C be charged. Under these circumstances, we are of the view that CIT(A) has rightly adjudicate the issue himself and has deleted the interest charged u/s 234B and 234C having allowed the adjustment of the seized amount against the advance tax for AY 2004-05. We, therefore, do not find any infirmity in the orders of the CIT(A) and accordingly we confirm the same. - Decided against revenue.
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