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2017 (3) TMI 902 - HC - Income TaxInterest under sections 234B and 234C not chargeable if the total income is assessed to tax under section 115J - Recall of HC order [2011 (6) TMI 915 - GUJARAT HIGH COURT ] - Held that:- A conjoint reading of section 115J of the Act as it stood at the relevant time, with sections 115JA and 115JB of the Act reveals that insofar as sections 115JA and 115JB are concerned, they are a complete code in themselves. Sub-section (4) of section 115JA and sub-section (5) of section 115JB of the Act specifically provide that save as otherwise provided in the section, all other provisions of the Act shall apply to every assessee, being a company, mentioned in the section; whereas, no similar provision is found in section 115Jof the Act. Moreover, the Supreme Court in the case of Rolta India Limited (2011 (1) TMI 5 - SUPREME COURT OF INDIA ) has specifically referred to the decision in the case of Kwality Biscuits Ltd. as having been affirmed by the Supreme Court (2006 (4) TMI 121 - SUPREME Court ) and has not disturbed the position of law enunciated therein. In Rolta India Limited (supra), the Supreme Court, in the context of the provisions of sections 115JA and 115JB of the Act, which are held to be a self-contained code pertaining to MAT, held that interest under sections 234B and 234C of the Act shall be payable on failure to pay advance tax in respect of tax payable under those sections. Apparently therefore, the judgment and order dated 24.06.2011 made by this court in Tax Appeal No.31 of 2003 has been rendered on a misreading of the decision of the Supreme Court in the case of Rolta India Limited (supra). Moreover, this court in the case of Farmson Pharmaceuticals Guj. Ltd (2011 (4) TMI 1037 - Gujarat High Court ) has followed the decision of the Karnataka High Court in Kwality Biscuits Ltd. (2006 (4) TMI 121 - SUPREME Court ) as affirmed by the Supreme Court and has held that interest cannot be charged under section 234B and 234C of the Act where the total income is determined under sec 115J of the Act. The said decision has been rendered on 07.04.2011, that is, prior in point of time to the judgment and order dated 24.06.2011 which is sought to be recalled. In the aforesaid premises, the application deserves to be allowed.
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