Waiver of interest under section 234B and 234C in search cases where adjustment out of cash lying in the P.D. Account is delayed for no fault of the assessee - Income Tax - F.NO. 286/90/2008-IT(INV-II)

F.NO. 286/90/2008-IT(INV-II) GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE CENTRAL BOARD OF DIRECT TAXES New Delhi, the 8th September,2008 To ALL DGsIT (Inv)/DGIT (InteIligence)/CCsIT (Central) Sub : Waiver of interest under section 234B and 234C in search cases where adjustment out of cash lying in the P.D. Account is delayed for no fault of the assessee - reg. Sir/Madam, I am directed to refer to Para 12 of the Minutes of the Annual Conference of DGsIT (Inv)/ DGIT (Intelligence)/ CCsIT (Central) held on 20.6.2008 and 21.6.2008 at Pune on the above mentioned subject. In this regard, I am directed to reiterate that as per Clause 2(b) of the Board s Order vide F. No 400/234/93-IT(B) dated 23rd May 1996 (copy enclosed), the CCsIT/DGSIT have already been empowered to waive interest in search cases where seized cash was not allowed to be utilized for payment of advance tax installment(s) as they fall due after the seizure of the cash if the CCsIT or DGsIT is satisfied that the assessee is unable to pay the advance tax. Yours faithfully (AARSI PRASAD) UNDER SECRETARY (INV II III) Tel. No 23092643