Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (2007)109ITD56(Coch.)
..... section falls short of the aggregate of the tax and interest as aforesaid, the amount so paid shall first be adjusted towards the interest payable as aforesaid and the balance, if any, shall be adjusted towards the tax payable.as per the provisions of section 140a, it is a statutory obligation on the assessee to pay the tax along with interest due if any on the basis of income declared in the ..... section 158bc, after taking into account the amount of tax, if any, already paid under any provision of this act, the assessee shall be liable to pay such tax together with interest payable under any provision of this act for any delay in furnishing the return or any default or delay in payment of advance tax, before furnishing the return and the return shall be ..... under section l40a which is recognized as a self-assessment tax before the date either of determining the total income under section 143(1) or completion of regular assessment then the interest payable under section 234b(1) of the act is to be calculated up to the date on which the tax under section 140a is paid.it is further provided that while determining liability ..... or if there is a short payment of tax as per the income returned by him, then to the extent of the due interest and to compensate the short payment if the assessee has made the payment under section 140a, then as per the provisions of section 234b(2), interest should be computed under section 234b(1) up to the date on which the assessee has paid the said tax and also to .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1993)45ITD628(Coch.)
..... be disallowed: [provided further that where adjustments are made under the first proviso, an intimation shall be sent to the assessee, notwithstanding that no tax or interest is found due from him after making the said adjustments:] [(provided also) that an intimation for any tax or interest due under this clause shall not be sent after the expiry of two years from the end of the assessment year in which the income was first assessable. ..... be a notice of demand issued under section 156 and all the provisions of this act shall apply accordingly; and (ii) if any refund is due on the basis of such return, it shall be granted to the assessee: provided that in computing the tax or interest payable by, or refundable to, the assessee, the following adjustments shall be made in the income or loss declared in the return, namely :- (i) any arithmetical errors in the return, accounts ..... -(1)(a) where a return has been made under section 139, or in response to a notice under sub-section (1) of section 142,- (i) if any tax or interest is found due on the basis of such return, after adjustment of any tax deducted at source, any advance tax paid and any amount paid otherwise by way of tax or interest, then, without prejudice to the provisions of sub-section (2), an intimation shall be sent to the assessee specifying the sum so payable and such intimation shall be deemed to ..... can be sent even in a case where interest is due or interest is refundable. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1994)50ITD1(Coch.)
..... of regular assessment, is the same.in other words, the assessing officer has got certain options before him: (i) he can send an "intimation" to the assessee in the specified circumstances under section 143(1)(a) and recover the tax or interest due from the assessee or refund the excess payments within a period of two years from the end of the assessment year in which the income was first assessable, or (ii) he can make a regular assessment under section 143 ..... to send an "intimation" to the assessee in terms of the second proviso to section 143(1)(a) which is to the effect that: where adjustments are made under the first proviso, an intimation shall be sent to the assessee, notwithstanding that no tax or interest is due from him after making such adjustments.thus, we hold that the "intimation" dated 24-10-1991 (extracted in para 2 above) sent by the assessing officer is no "intimation" at all and has no legal sanction in terms of section 143(1)(a) read ..... inadmissible, shall be disallowed: provided further that where adjustments are made under the first proviso, an intimation shall be sent to the assessee, notwithstanding that no tax or interest is found due from him after making the said adjustments: provided also that an intimation for any tax or interest due under this clause shall not be sent after the expiry of two years from the end of the assessment year in which the income was first assessable. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (2006)103ITD75(Coch.)
..... , the second proviso to s.143(1)(a) was substituted as under: provided further that an intimation shall be sent to the assessee whether or not any adjustment has been made under the first proviso and notwithstanding that no tax or interest is due from him.the substituted proviso was made applicable from the assessment year 1998-99 assessment years. ..... : section 143(1)(a): where a return has been made under section 139, or in response to a notice under sub-section (1) of section 142: (i) if any tax or interest is found due on the basis of such return, after adjustment of any tax deducted at source, any advance tax paid and any amount paid otherwise by way of tax or interest, then, without prejudice to the provisions of sub-section (2) an intimation shall be sent to the assessee specifying the sum so payable, and such intimation ..... provided also that an intimation for any tax or interest due under this clause shall not be sent after the expiry of two years from the end of the assessment year in which the income was first assessable.as per the second proviso to section 143(1)(a), the ..... provision, it was the statutory duty of the assessing officer to send the intimation to the assessee, whether or not any adjustment has been made to the income or loss declared by the assessee and notwithstanding that no tax or interest is due from him.7. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (2007)292ITR56(Coch.)
..... was to provide interest on interest then it would not have used the expression "simple interest" in section 244a nor would it have omitted interest from the purview of clause (b) of sub-section (1) of section 244a and the said clause only refers to tax and interest and laid down the manner for computation of interest under section 244a.hence, he submitted that the cit(appeals) was not at all justified in directing the assessing officer to grant interest on the interest due on the amount ..... cit (sic) 10 itr 419 as the revenue has not challenged the decision of gujarat high court in respect of the payment of interest on interest due to the assessee.now, in the recent judgment in the case of sandvik asia ltd. ..... the first issue which arises for our consideration and which is common in all the appeals is whether the assessee is entitled under section 244a of the act interest on due interest on the refund if there is a delay in giving the refund to the assessee.3. ..... we, are therefore, of the opinion that the principles applicable to the earlier provisions in respect of the payment of interest by the department on the delayed amount of tax refundable and interest due thereon are also applicable to section 244a of the act.9. ..... in our opinion, the term "refund" used in section 244a comprised of the element of "tax" and also "interest due" on that particular amount of tax which has been delayed by the department. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1991)37ITD213(Coch.)
..... assessee had received any monthly payments under clause (6) after the expiry of the notice period, such payments would be adjusted against the interest due to the assessee. ..... the first party that on its failure to return the entire amount before the expiry of the said notice period of three months, the second party shall be entitled to receive from the first party interest calculated at the rate of 12% per annum on all amounts outstanding on the expiry of the said notice period; so however the rent of rs. ..... stipulated that after the expiry of the said three-months' notice period, the vendor shall be liable to pay the assessee interest calculated at 12% per annum on all the amounts outstanding on the expiry of the notice period. ..... reasonably be said in this regard is that the rent actually collected by the vendor is a measure, in money terms, of the commercial equivalent of interest which the vendor was obligated to pay the assessee for the sum of rs. ..... in the hands of the assessee the sum was in the nature of interest which is exigible to tax under the head "income from other sources ..... they are, in essence and substance, only the commercial equivalent of interest paid by the vendor to the assessee for the user of the ..... any amount paid for the user of money is interest; and it does not matter whether the parties to the agreement choose to call it by ..... the proviso to clause (6) clearly stipulates that interest at the rate of 12% per annum was payable by the vendor right from the expiry of .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1994)50ITD280(Coch.)
..... price quoted to sudan is in the neighbourhood of prices quoted by other exporters to sudan in view of contract on global tender basis.unless a definite formula is shown to exist to take care of the interest commitment in the price of the exports offered to sudan or unless an in-built mechanism is shown to exist to cover such contingency, we find it difficult to accept the very attractive argument of shri harish ..... that as it was following the mercantile system of accounting, it is entitled to make provision for the interest in the accounts in respect of the exports made during the relevant previous years as the liability for interest has accrued due, and the same cannot be restricted to the interest referable to the period of 12 months ending on the last day of the previous year of each ..... on the plea that the exports to sudan were fixed at a higher price in view of the inordinate delay in the realisation of the foreign bills and therefore, the entire interest payable to the assessee's bank on account of the belated realisation of the foreign bills was to be allowed in terms of the decision of the supreme court in the case ..... it was also contended that on the basis of real income theory inasmuch as the sale price was loaded with the interest element, the entire interest on the delayed realisation of the export bills should be allowed in the light of the decision of the supreme court ..... enhanced its price so as to cover the interest charges due to the bank with which its export bills .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1998)67ITD375(Coch.)
..... of the income-tax act, 1961, which reads as follows : "provided that nothing contained in this section shall apply in relation to any sum referred to in clause (a) or clause (c) or clause (d) which is actually paid by the assessee on or before the due date applicable in his case for furnishing the return of income under sub-section (1) of section 139 in respect of the previous year in which the liability to pay such sum was incurred as aforesaid and the evidence ..... this second says that where tax or interest is due, an intimation shall be sent. ..... according to the learned advocate, sri jacob the disallowances appear to have been made for the reasons that evidence for payment of tax in due time had not been filed along with the return of income as required under section 43b. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1995)52TTJ(Coch.)654
..... the assessing officer took the entire interest on the debentures held by the assessee as on the date when the interest accrued became due for payment and disallowed the deduction claimed by the assessee as against such interest in respect of the period upto the date of purchase. ..... the details of purchases as extracted by the cit(a) are as follows : subsequent to the acquisition of debentures the assessee accounted for the interest accrued due on the debentures from the date when interest was last paid to the date of interest fell due for payment. ..... 50,700 made by the assessing authority and confirmed by the first appellate authority while determining income from other sources is also not in order; since the interest accrued has been already considered for the purpose of working out the cost." 10. ..... as against this accrual it sought to deduct the interest included in the purchase price of the debentures which accrued but not due for payment as on the date of purchase of such debentures. ..... the assessee purchased some debentures with interest accrued thereon but not due for payment at the time of purchase. ..... the cit(a) in keeping with his decision on the treatment of broken period interest upheld the determination of the loss as computed by the assessing officer. ..... 5,00,697 against the sale proceeds of 4,84,397, the assessing officer sought to set off the interest inclusive purchase cost of 5,11,525 as against the sale proceeds of 4,84,397. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Cochin
Reported in : (1992)41ITD312(Coch.)
..... comments of the statutory auditors were in the region of non-certification of outstanding balances and deposits with bank, non-statement of certain contingent liabilities, non-provision for certain interests that had accrued on loans granted to the company by the government, non-accounting of interest on due basis on hire purchase sales, misclassification of items in the profit and loss account and balance-sheet, shortages deducted during the physical verification not being provided in the account ..... the cit( appeals) further noticed that part of the records which were stored in ernakulam where the registered office of the appellant company was once situated was lost due to floods and as a result it could not produce the records before the statutory auditors or before the income-tax officer. .....
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