TMI Blog2021 (9) TMI 279X X X X Extracts X X X X X X X X Extracts X X X X ..... llecting banker does not possess title to the cheque better than that of the customer. If the customer has no title thereto, or his title is defective, the collecting banker cannot have good title to the cheque. In case the cheque collected by him did not belong to his customer, he will be held liable for conversion of money, i.e., illegally interfering with the rights of true owner of the cheque. From the concurrent reading of the above, it can be said that the assessee is deemed to have paid the advance tax within the due date of payment. Hence, not liable to be charged any interest u/s 234B and 234C AO denied grant of interest u/s 244A on the grounds that the refund determined doesn t exceed 10% of the total tax payable - A.Y. 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d by the assessee against the orders of ld. CIT( A)-20, New Delhi dated 28.02.2018 and 28 .03.2018. A.Ys. 2007- 08 2008- 09 2. As per the revenue, the assessee has paid advance tax on 18th September, 18th December and 17th March whereas the due date for payment of advance tax was 15th September and 15 th March. Accordingly, the revenue charged interest u/ s 234B and 234C for default in payment of advance tax. 3. The assessee contended that the amounts have been indeed paid on 15th September, 14th December and 14th March. The assessee has submitted certificate from the Punjab National Bank that the cheques issued by the assessee have been deposited and sent for clearing on the same date (i.e. before 15th) but were cleared aft ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the present case the bank which is authorized to receive payment of advance tax from the assessee) is closed on that day or on the last day of the prescribed period, the Act or proceeding shall be considered as done or taken in due time after it is done or taken on the next day, afterwards, on which the Court or office ( or the bank) is open. In view of this provision, it is hereby clarified that i f the last day for payment of any installments of advance tax is a day on which the receiving bank is closed, the assessee can make the payment on the next immediately following working day, and in such cases, the mandatory interest leviable under sections 234 B and 234 C of the Income- tax Act, 1961 would not be charged. Circular : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the earliest as per Section 244A(1 )(a). A.Y. 2009-10 9. The Assessing Officer has added back ₹ 3 ,54,385/- on account of difference in income reported in AIR. 10. In the original assessment order passed u/s 143 (3 ) the Ld. Assessing Officer has added a sum of ₹ 7 ,03 ,654/- on account of difference in interest income shown by the assessee from various banks, (ICICI Bank ₹ 70, 396/-, Vijaya Bank ₹ 9,575 /- and HDFC Bank ₹ 6 ,23,683 /-) while comparing the same from data received through AIR. 11. It was argued that during the year under appeal, the accounts of the assessee were finalized and signed on 18.05.2009 and interest receivable on deposits with other banks for the year was provided o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e in this regard. 14. Detail of Interest included in the total income is as follows: A.Y. HDFC Bank ICICI Bank Vijaya Bank 2008-09 23,94,320 /- ----- ----- 2009-10 34,11,239 /- 27,96,713 /- 2,05,479 /- 2010-11 7,68,357 /- 39,92,463 /- 3,70,942 /- 2011-12 10,54,110 /- 25,73,380 /- 12,36,829 /- Total Int. Income 7 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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