TMI Blog2019 (4) TMI 1175X X X X Extracts X X X X X X X X Extracts X X X X ..... ed enabling the Commissioner to waive out the interest. Every person is having certain compulsion while paying interest and that cannot be the sole ground for allowing the application in respect of waiver of the interest. As relying on BM MALANI VERSUS COMMR. OF INCOME TAX ANR. [ 2008 (10) TMI 2 - SUPREME COURT ] he assessee is not entitled for any relief of whatsoever kind. - W.P. No.2464/2019 - - - Dated:- 10-4-2019 - S.C. Sharma And Virender Singh JJ. For the Petitioner : Shri P. M. Choudhary, learned senior counsel along with Shri Anand Prabhawalkar learned counsel For the Respondents : Ms. Veena Mandlik, learned counsel ORDER The petitioner before this Court has filed this present writ petition being aggr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion 220 (2A) of the Income Tax Act, 1961 and the same has been rejected by the impugned order. Learned senior counsel for the petitioner has placed reliance upon a judgment delivered by the Hon'ble Supreme Court in the case of B.M. Malani v/s Commissioner of Income Tax reported in 306 ITR 196 (SC)/[2008] . Reliance has also been placed upon a judgment delivered by the High Court of Madras in the case of Vellor Electronics Engineering (P.) Ltd. v/s Assistant Commissioner of Income Tax reported in [2011] 237 CTR 63 (Madras) . A prayer has been made for quashment of the impugned order. A reply has been filed in the matter and it has been argued before this Court on behalf of the Income Tax Department that the petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee has co-operated in any enquiry relating to assessment or any proceeding for recovery of any amount due from him. 6. The assessee did not furnish any evidence which could justify his request for waiver of interest. In view of the above, the assessee failed to justify that his case was falling under the conditions as mentioned in section 220(2) of the Income Tax Act, 1961. The assessed does not fulfill the conditions mentioned in sub-clauses (i), (ii) and (iii) of section 220(2A), as is evident from the facts of the case. 7. In view of the above and after looking to the facts and circumstances of the case, the request of the assessee for waiver of interest of ₹ 39,40,270 is hereby rejected . This Court has carefully go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rely a ruse) For interpretation of the aforementioned provision, the principle of purposive construction should be resorted to. Levy of interest although is statutory in nature, inter alia for re-compensating the revenue from loss suffered by non-deposit of tax by the assessee within the time specified therefor. The said principle should also be applied for the purpose of determining as to whether any hardship had been caused or not. A genuine hardship would, inter alia, mean a genuine difficulty. That per se would not lead to a conclusion that a person having large assets would never be in difficulty as he can sell those assets and pay the amount of interest levied. The ingredients of genuine hardship must be determined keeping in v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therein have been fulfilled before passing an order waiving interest. Compulsion to pay any unjust dues per se would cause hardship. But a question, however, would further arise as to whether the default in payment of the amount was due to circumstances beyond the control of the assessee. Unfortunately, this aspect of the matter has not been considered by the learned Commissioner and the High Court in its proper perspective. The Department had taken the plea that unless the amount of tax due was ascertainable, the securities could not have been sold and the demand draft could not have been encashed. The same logic would apply to the case of the assessee in regard to levy of interest also. It is one thing to say that the levy of inter ..... X X X X Extracts X X X X X X X X Extracts X X X X
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