9911796707
TMI Blog2013 (5) TMI 22X X X X Extracts X X X X X X X X Extracts X X X X ..... e claim of the assessee for total TDS of Rs. 29,86,639/- The assessee through their letter dated 9.5.2003 informed the assessing Officer that the income pertaining to the TDS credit have been offered for tax in the assessment year 2001-02 and claimed MAT credit before charging surcharge on Income Tax. The claim of the assessee was considered by the assessing Officer by passing order under Section 154 of the Income Tax Act. The assessing Officer found that the claim for MAT credit can be considered only after charging the surcharge on Income Tax. Accordingly, he passed the revised assessment order thereby ordering refund of Rs.12,91,037/-, however without granting interest under Section 244A on the ground that the refund has arisen as a resu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der Section 244A. learned counsel further submitted that the Assessing Officer had given MAT credit to the tune of Rs.14,39,653/- towards the total tax liability of Rs. 31,35,255/- . Consequently, he has also given credit to TDS to the tune of Rs. 29,86,639/- and accordingly ordered for refund of Rs.12,91,037/-. As the refund was made as a result of giving MAT credit, the Assessing Officer had rightly rejected the claim of interest under Section 244A. 5. Per contra, the learned counsel appearing for the assessee submitted that as per the decision of the Supreme Court reported in (2011) 330 ITR 226 (SC) (Commissioner of Income Tax Vs. Tulsyan NEC Ltd.), MAT credit has to be given first and thereafter interest is to be computed. Therefore, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted on par with TDS payment and therefore surcharge cannot be calculated after giving credit to MAT credit. However, insofar as the claim of interest under Section 244A is concerned, the first appellate authority found that refund had arisen out of the excess TDS payment and therefore the assessee is entitled to interest under Section 244A. He has also specifically found that the proviso to Section 115JAA(2) was not applicable to the facts of the case. Accordingly, he directed the Assessing Officer to calculate the interest under Section 244A and grant the same. 9. It is seen that as against the said order of the first appellate authority, only the Revenue went on appeal before the Tribunal. When we perused the order of the Tribunal, we co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r to grant interest under Section 244A. The Tribunal, on the other hand, has rejected the Revenue's appeal by following its earlier order reported in M/s.Chemplast Sanmar Ltd., Vs. Deputy Commissioner of Income Tax (2004) 83 TTJ (Chennai) 42) . There is absolutely no discussions, whatsoever, with regard to the interest payments under Section 244A except by extracting a paragraph from the order of the Tribunal in Chemplast Sanmar Ltd case. 10. It appears that the Tribunal had concentrated only on the issue as to whether giving credit for MAT before set off of TDS and advance tax from the tax payable by the assessee is correct or not. The Tribunal adverted its attention to the Chemplast Sanmar Ltd., case to answer the said issue and conseque ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
