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2012 (7) TMI 420 - ITAT, BANGALOREInterest on 'amount of refund' u/s 244 versus Interest on 'any tax' u/s 244A - Held that:- There is misconception in the interpretation of the AO that interest can be paid only on the tax portion in the refund and not on the entire amount of refund. - Moreover, section 244A doesn’t distinguish that the assessee shall be entitled to receive interest only on tax portion in the refund and not on the entire amount of refund as projected by the Revenue. If the interpretation of the Revenue were to be taken on its face value, we are afraid; it would lead to miscarriage of justice. Assessee was entitled to further interest u/s 244 on interest u/s 214 which had been withheld by the Revenue - When the refund of tax becomes payable as a result of orders passed in appeal or other proceedings under the Income-tax Act, 1961, this refund is to be given along with interest which is to be calculated as per section 244A of the Act – In favor of assessee
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