1981 (12) TMI 84

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..... ces of the case, the ITO was wrong in ordering to charge interest under s. 217 of the IT Act, 1961. Admittedly, the ITO ordered charging interest under s. 217. The assessee made an application under s. 154 that there was a mistake apparent from record, inasmuch as, no interest was chargeable under s. 217 from the assessee. The argument advanced before the ITO was that no interest was chargeable un .....

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..... l to the Tribunal. Shri Sharma, ld. counsel for the frankly conceded before us that the reasoning given before the ITO for the assessee was incorrect. He, however, argues that the application made under s. 154 before the ITO was that no interest was chargeable under s. 217 and that a mistake apparent from record arose, inasmuch as, interest was wrongly charged under that provision. He says that a .....

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..... ing at any stage and the case will not fail simply because wrong reasoning was given in support of the plea that was raised before the ITO. We quite agree with this submission. The question for consideration before the ITO was whether interest was wrongly charged under s. 217. On the facts, as stated by the ITO himself, it is amply clear that no interest could be charged under s. 217 from the asse .....

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