(1.) The appellant purports to pose question of law referred to herein below:-
(2.) The relevant facts can be briefly narrated as under : The case of the respondent/assessee was taken up for assessement within the framework of Section 158BD of the Income-Tax Act, 1961. The assessment was made on 30.1.2002 determining undisclosed income @ Rs.1,40,02,500/-. In the course of said proceeding, the assessee had filed application before Settlement Commission on 11.5.2001. The application was admitted by the Settlement Commission under section 245D (1) on 16th September, 2002. Final order was passed by the Settlement Commission on 30th September, 2002 disposing of the application. The undisclosed income under the same decreased to Rs.32,20,000/-. The Assessee had paid the demand within 30 days.
(3.) On 14th December, 2005 the Assistant Commissioner, Income-tax, Circle XVIII, Mumbai issued a demand purporting to give effect to the order under section 245D (4) charging and levying interest under Section 220 (2) of Income-Tax Act, 1961 from the date of assessment order - 30th January, 2002 to 30th September, 2005 - the date of order passed by the Settlement Commission. As such the matter before the Income-Tax Appeals XVIII, Mumbai ensued at the instance of the assessee.