TMI Blog2018 (2) TMI 1528X X X X Extracts X X X X X X X X Extracts X X X X ..... ry to the binding instructions dated 3rd September 1998 of the Central Government under the Samadhan Scheme. The impugned certificate dated 3rd February 1999 issued under Section 91 of the Samadhan scheme is quashed and set aside. The Petitioner's declaration is restored to the designated authority – Respondent No.1 for issuing a fresh certificate and determining the amount payable in accord with the instructions dated 3rd September 1998 issued by the Central Government under Section 96 of the Finance Act i.e. to first adjust the amount paid towards the tax payable and only thereafter to adjust the balance towards interest paid on the date of filing of the declaration. The necessary certificate should be issued by the Respondent No.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd interest payable under Section 234 (B) at ₹ 38.06 lakhs. However, after adjustment of the self assessment tax and advance tax determined the net tax arrears at ₹ 45.25 lakhs. The amount of self tax paid was not adjusted against the interest payable under Section 234 B of the Act. This Income Tax computation form was communicated to the Petitioner along with the notice of demand issued to the Petitioner under Section 156 of the Act for the Assessment Year 1995-96. 3. Being aggrieved with the Assessment order dated 31 December 1997 of the Assessing Officer for the Assessment Year 1995-96, the Petitioner had preferred an appeal to the Commissioner of Income Tax (Appeals), CIT(A). This Appeal was awaiting disposal till the Pet ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by the Petitioner along with its return of income. This consequently resulted in higher unpaid tax as on 31 March 1998 and on the filing of the declaration on 8 December 1998. 7. Consequent to the issue of the above certificate dated 3 February 1999, the Petitioner addressed a representation to the designated authority Respondent No.1 in respect of the determination of the tax payable determined therein. It pointed out that on a plain interpretation of the provisions of the Samadhan Scheme, the amount payable thereunder would be as per the declaration filed on 8 December 1998 of ₹ 20.56 lakhs and not ₹ 26.93 lakhs as determined under the certificate. The aforesaid representation was disposed of by Respondent No.1 by communi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the Respondent supports the impugned certificate dated 3rd February 1999 under Section 90(1) of the Samadhan Scheme. However he is is not in position to make any submission contesting the binding nature of the instructions dated 3rd September 1998 issued by the Central Government under Section 96 of the Scheme. 10. For the purpose of disposing of this Petition, the larger issue of computation of the statutory provision need not be examined. This Petition can be disposed of on a narrow issue of the certificate dated 3rd February 1999 being contrary to and in defiance of the instructions dated 3rd September 1998 issued by this Government under Section 96 of Samadhan Scheme. Section 96 of the Scheme inter alia empowers the Central Go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f ₹ 96,844/- out of advance tax was adjusted towards tax payable. This action of the Designated Authority in issuing the certificate dated 3 February 1999 is contrary to the binding instructions dated 3rd September 1998 of the Central Government under the Samadhan Scheme. 12. In the above view, the impugned certificate dated 3rd February 1999 issued under Section 91 of the Samadhan scheme is quashed and set aside. The Petitioner's declaration is restored to the designated authority Respondent No.1 for issuing a fresh certificate and determining the amount payable in accord with the instructions dated 3rd September 1998 issued by the Central Government under Section 96 of the Finance Act i.e. to first adjust the amount paid to ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
