TMI Blog1988 (8) TMI 77X X X X Extracts X X X X X X X X Extracts X X X X ..... t". The five petitions are by five different assessees, but a common question of law is involved. We have, therefore, heard these petitions together and are disposing of the same by this common order. What had happened was that the returns for the assessment year in question were filed on December 6, 1960. But the assessment came to be made after the commencement of the new Act. Demands of varying amounts were raised in the case of each assessee. The amount was realised from the assessees some time in 1965-66. On March 7, 1967, the appeals filed by them against the assessment were allowed and the demand was set aside. The amount paid by the assessees was refunded to them on July 7, 1972. The only question for our determination is whether ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erest payable by the assessee for default shall apply. It is urged by learned counsel that by virtue of section 244 of the new Act, an assessee is entitled to interest on refund in case or delay in paying the amount of refund, if the assessment has been made under the new Act. It is contended by referring to section 297(2)(i) of the new Act that, if, in the present case, the assessment had been made before April 1, 1962, which is the date of commencement of the new Act, the assessee would have been entitled to payment of interest as refund became due after the passing of the appellate order on March 7, 1967, which was after the commencement of the new Act. Learned counsel contends that the assessees may not lose interest which is in the n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ery comprehensive meaning : it can comprehend the whole procedure for ascertaining and imposing liability upon the taxpayer. In Kalawati 'Devi's case [1967] 66 ITR 680 (SC), it was, therefore, stated that the proceeding under section 33B would also be a part of the assessment proceeding of which mention has been made in section 297(2)(a) of the new Act. It has also been submitted by Shri Choudhury that no right vested in assessees under the old Act to claim interest in a case of the present nature inasmuch as no interest was payable under the old Act. To substantiate this submission, we are referred to Reliance jute and Industries Ltd. v. CIT [1979] 120 ITR 921 (SC). These are well-settled propositions of income-tax law. The question is w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al benefits. This shows that a citizen is entitled to payment of interest due to delay even if there be no statutory provision in this regard. The grant of interest to owners whose property was requisitioned under the provisions of the Requisitioning and Acquisition of Immovable Property Act, 1952, was upheld in Abhay Singh Surana v. Secretary, Ministry of Communications, AIR 1987 SC 2177. While granting interest, the decision of the Privy Council in Inglewood Pulp and Paper Co. Ltd. v. New Brunswick Electric Power Commission [1928] AIR 1928 PC 287, was also borne in mind wherein it was stated that (at p. 2178 of AIR 1981 SC) : "upon the expropriation of land under statutory power, whether for the purpose of private gain or of good to the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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