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2023 (2) TMI 290 - DELHI HIGH COURTInterest for the period prior to the three years - respondent has refunded the excess tax and also paid interest for the period of three years - HELD THAT:-The said issue was considered by a coordinate bench of this Court in IJM Corporation Berhad v. Commissioner of Trade and Taxes [[2017 (11) TMI 1298 - DELHI HIGH COURT]]. This Court had held that in terms of Section 42 of the DVAT Act, interest would be payable if the refund is not paid within a period of two months of filing of the return. On a closer examination of the facts of this case, we are unable to accept that the petitioner can be denied interest on the amount of refund which has been unjustifiably withheld, mainly for two reasons. First, that there is no dispute that the petitioner is entitled to the refund and his return was required to be considered as an application for the same. The petitioner was not required to approach or pursue the authorities for its claim for refund of excess tax. Second, that the delay in processing claims for refund is endemic to the DVAT authorities and if the same is considered, the delay on the part of the petitioner approaching this court is not long. Although the petitioner has not approached this Court immediately after the refund of tax became due, we are unable to accept that the same disentitles the petitioner from claiming what is rightfully due - this Court directs the respondents to process the petitioner’s claim for interest in accordance with law. Petition disposed off.
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