TMI Blog2009 (7) TMI 57X X X X Extracts X X X X X X X X Extracts X X X X ..... Union of India & Ors., [2008 -TMI - 11128 - BOMBAY High Court ] followed. - 671 of 1995 - - - Dated:- 27-7-2009 - F.I. REBELLO D.G. KARNIK, JJ. Ms. A.B. Vissanji with Mr. S.J. Mehta, for the Petitioner. Mr. P.S. Sahadevan, for the Respondents. JUDGMENT FERDINO I. REBELLO, J. - The petitioner by the present petition had raised the following contentions:- (1) That the interest under Section 234B can be claimed upto the date of intimation under Section 143(1) or regular assessment under Section 143(3). (2) Whether the interest under Section 243B can be charged along with interest under Section 220. (3) As interest by its very nature is compensatory whether charging of interest for late filing of returns being a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 st March, 1994. By letter of 30 th July, 1994 the petitioner requested for rectification of interest calculated under Section 220(2).The petitioner received an undated order on 10 th May, 1994 rejecting the application for rectification. The petitioner received an order dated 25 th March, 1994 on 9 th May, 1994 holding that no action under Section 140A(3) would lie against the petitioner. The petitioner preferred an Appeal. The Appeal was dismissed on 10 th August, 1994 on the ground that no Appeal lies and alternatively the error sought to be corrected was not a mistake apparent on the face of the record. The Revision Application was preferred by the petitioner before the 1 st respondent which came to be rejected on 28 th Decembe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4. We than come to the second question whether after having paid interest under Section 234B interest is still payable under Section 220 of the IT Act. The interest payable under Section 220 is distinct and different from the interest payable for default in payment of advance tax under Section 234B. In fact the language of Section 220 itself makes it clear that any amount otherwise than by way of advance tax specified as payable in notice of demand under Section 156, shall be paid within 30 days of the service of notice at the place and on the person mentioned in the notice. Therefore, under Section 220 what is payable is interest in terms of the demand made under Section 156 and on failure by the assessee to pay the said amount within 30 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... issue is already covered by a judgment of the Division Bench of this Court in Umesh S. Bangera vs. Union of India Ors., 268 ITR 405 . As earlier set out the interest is chargeable on different heads. They are independent of each other and on failure to comply with the provisions of the Act. It is open to Parliament or to the Legislature, where there being default to charge interest for the said period, considering that such interest is compensatory. This was within the competence of Parliament. Considering the above and considering the judgment of this Court in Umesh S. Bangera (supra) the contention as urged is devoid of any merits. 6. For the aforesaid reasons we uphold the demand except to the extent under Section 220 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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