Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2010 (3) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2010 (3) TMI 449 - HC - Income TaxRefund-Whether section 244(1)(b) read with the Explanation thereto excludes payment of interest on refund of self-assessment tax? Held that- the assessee should be, on principle entitled to interest thereon since the self-assessment tax falls within the expression “refund of any amount”. The computation of interest on self-assessment tax has to be in terms of section 244A(1)(b), i.e., from the date of payment of such amount up to the date on which refund is actually granted. In the light of the decision of the Madras High Court in Cholamandalam Investment and Finance Co. Ltd., 2007 -TMI - 2122 - HIGH COURT , MADRAS the special leave petition against which order was dismissed by the Supreme Court. Even otherwise, it is trite law that wherever the assessee is entitled to refund, there is statutory liability on the Revenue to pay the interest on such refund on general principles to pay the interest on sums wrongfully retained. Thus, the question of law is in favour of the assessee and against the Revenue. The present appeal is accordingly dismissed.
|