TMI Blog2013 (4) TMI 919X X X X Extracts X X X X X X X X Extracts X X X X ..... 10 All the aforementioned appeals have been decided by the Tribunal vide separate orders. However, in the present appeals the issues emanate from the orders passed by the Assessing Officer in giving effect to the original orders of the CIT(A). The Revenue has assailed the orders of the CIT(A) in the present appeals on the following grounds:- i) Applicability of provisions of section 115JA/115JB to the assessee. ii) Grant of interest under section 244A of the Act. Both the above said issues had come up before the Tribunal in the aforesaid appeals of the assessee. 3. The first issue relating to provisions of section 115JA and 115JB was argued at length by both the parties in ITA No.264/Mds/2005. Since the issue was not emanating from the order of the CIT(A) and this issue was not taken by the assessee in its original ground of appeal or was ever raised by taking additional ground of appeal. Therefore, the ground of appeal of the assessee was dismissed. The relevant extract of the order of the Tribunal is reproduced herein below:- 11. At this stage, the DR pointed out that ground no.2 raised by the assessee in the concise grounds of appeal was not take ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2306/Mds/2008 for the assessment year 2005-06 and adopts the same. We find that the issue in the present appeal relating to the applicability of provisions of section 115JB which has already been dealt in detail by us in the aforesaid appeal. The relevant extract of the order of the Tribunal in ITA No.2306/Mds/2008 is reproduced herein below:- 22. The fifth ground of appeal of the assessee is with respect to applicability of provisions of section 115JB in the case of the banks. The A.R pointed out that in the present case this ground of appeal was agitated before the CIT(A). The CIT(A) following the order of his predecessor without specifying reasons has dismissed this ground of appeal of the assessee. Copy of the earlier order passed by the predecessor of the CIT(A) has not been placed on record by either of the parties. The A.R. has placed reliance on the order of the Hyderabad Bench of the Tribunal in the case of State Bank of Hyderabad Vs. DCIT in ITA No.578/Hyd/2010 relevant to the assessment year 2007-08 decided on 7.9.2012, wherein the Tribunal has held that the provisions of section 115JB will not be applicable to the assessee and set aside the assessment made under sec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e not applicable in the case of the assessee. On the other hand, the DR has vehemently argued that the assessee is a company and therefore, the provisions of section 115JB are applicable on the assessee. In order to support his contentions, the learned DR referred to the provisions of section 3 of the Companies Act, 1956 to say that the assessee was incorporated in the year 1937under the provisions of Indian Companies Act, 1913 and still it is governed by the provisions of the Companies Act, 1956. The learned DR further referred to section 2 of The Banking Regulation Act, 1949 which states that the Act is in addition to and not in derogation of the Companies Act, 1956 unless expressly provided. To give impetus to his submissions, the learned DR relied on the following case laws:- i) Indian Overseas Bank Ltd. Vs. CIT., Madras reported as 1970 AIR 1530 ii) IOB Vs. CIT., reported as 63 ITR 733(Mad) iii) CWT Vs. S.P.Shanmugha Kesari reported as 121 ITR 403 (Mad) 23. We have heard the submissions made by both the sides and have perused the orders of the authorities below. We have also examined the judgements/orders referred to by both the sides. The DR has placed reliance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of interest paid under section 214 and/or section 244. 7. In the present case, both the sides have not brought on record the period for which the interest was unpaid. In case interest is paid along with the excess tax, no further payment is to be made. It is only in case where excess amount of tax is refunded without interest, the amount of interest retained would be liable for interest i.e. interest on interest would also become payable. The withholding of interest without any justifiable reason in an arbitrary manner will entitle the assessee to claim interest on interest. As regards the method of calculation of interest is concerned, we hold that the assessee is entitled to interest to be calculated in accordance with the law laid down by the Hon ble Supreme Court in the case of Sandvik Asia Ltd(supra). We, therefore, remit the case back to the Assessing Officer for the limited purpose of calculation of interest on interest, if any arising out of delay in payment of interest in accordance with the method as set out by the Hon ble Apex Court in the case of Sandvik Asia Ltd. (supra). 8. The appeals of the Revenue are allowed for statistical purposes. Since this issue ha ..... X X X X Extracts X X X X X X X X Extracts X X X X
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