TMI Blog2013 (3) TMI 84X X X X Extracts X X X X X X X X Extracts X X X X ..... amount outstanding against the dealer under the Act or under the Central Sales Tax Act and only the balance, if any, is to be refunded. The State legislature has also taken care of the delay, if any caused in making the refund. Explanation I provides that the date of refund shall be deemed to be the date on which intimation regarding preparation of the refund voucher is sent to the dealer & if the amount refundable is not refunded within three months from the date of the order of refund then interest @ 18% per annum is payable from the date of the order or the receipt of the order. Applying these principles to the facts of the present case it is found that the long time spent by the authorities in getting the verification of the TDS cert ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order dated 26.02.2003 passed an assessment order creating a liability of ₹ 5,31,017/- towards tax. The petitioner claimed adjustment of the tax deducted at source amounting to ₹ 8,30,011/- and the balance amount became refundable and payable to the petitioner. Reassessment proceeding under section 21 of the Act was initiated and vide order dated 4.05.2003 an additional tax liability of ₹ 43,837/- was created by the respondent no.1. However, in respect of the assessment year 2000-2001 (Central) the respondent no.1 created tax liability of ₹ 4,88,980/- which was rectified under section 22 of the Act and tax liability was reduced to ₹ 1,01,780/-. Thus the total sum of ₹ 1,53,377/- became excess tax dedu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that if there had been any delay on the part of the authority in getting the TDS certificate verified, the liability of paying interest would not cease as it has been provided under section 29(2) of the Act that it shall start running after the expiry of three months from the date of order of refund passed by the assessing authority till the date of actual payment. He placed reliance upon a Division Bench decision of this Court in the case of M/s Triveni Fuels, Allahabad and another vs. State of U.P. and others (2005) 41 STR 602. Learned standing counsel appearing for the respondent, however, defended the action of the authorities in not paying any interest on the ground that the amounts of TDS certificate are got to be verified as th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act or under the Central Sales Tax Act and only the balance, if any, is to be refunded. The State legislature has also taken care of the delay, if any caused in making the refund. Under Sub-section (2) of Section 29 of the Act, it has been provided that if the amount found to be refundable is riot refunded within three months from the date of the order of refund passed by the Assessing Authority or, as the case may be from the date of receipt by him of the order of refund, if such order is passed by any other competent authority or Court, the dealer has been made entitled to simple interest @ 18% per annum from the date of such order or, as the case may be, the date of receipt of such order of refund passed by the Assessing Authority to th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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