PR. COMMISSIONER OF INCOME TAX Vs. SOLAN DISTRICT TRUCK OPERATORS TRANSPORT CO-OP. SOCIETY
HIGH COURT OF HIMACHAL PRADESH
Pr. Commissioner Of Income Tax
Solan District Truck Operators Transport Co-Op. Society
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TARLOK SINGH CHAUHAN,J. -
(1.)This appeal is directed by the appellant against the order dated 7.08.2019, passed in Miscellenous Application No. 12/CHD/2019 in ITA No. 279/CHD/2017, dated 31.10.2017-A.Y. 1999-2000 by the Income Tax Appellate Tribunal Division Bench, Chandigarh, (for short, 'the ITAT').
(2.)The case of the appellant is that the respondent Society-assessee filed return of income for the assessment year 1999-2000, which was processed under Section 143 (1) of the Income Tax Act, (for short 'the Act'). The further case of the appellant is that for the assessment years 1996-97 to 1999-2000, certain refunds arising out of excess TDS were issued in favour of the assessee. However, interest under Section 244-A of the Act was not paid in respect of some of the refunds, while in the case of some other refunds, interest was paid for a shorter period than what was claimed by the assessee. It is averred in the appeal that the interest was refused on the ground that the delay in issuing refund was attributable to the assessee. Against the order of the Assessing Officer refusing to grant interest under Section 244-A of the Act, the assessee filed an appeal before the CIT(A) Solan. The CIT (A), Solan dismissed the appeal on the ground that the question as to whether any part of the delay was attributable to the assessee is a question to be decided by the Chief Commissioner or Commissioner of Income Tax under Section 244-A (2) of the Act. Then, the matter was referred to the Commissioner of Income Tax, Railway Board Building, the Mall, Shimla (hereinafter to be referred as 'the CIT'). The CIT vide its order dated 24.10.2008, dismissed the appeal while exercising its powers under Section 244 of the Act and the Assessing Officer was directed to pay interest to the assessee from April, 1999 to October, 2001 on refund of RS.51,41,301/-. Thereafter, the Assessing Officer issued refund of Rs. 15,80,950/- on 31.01.2009. It is further averred in the appeal that subsequently, the assessee filed an application under Section 154 of the Act on 15.02.2010, requesting therein to allow interest on delayed interest on the refund. The Assessing Officer vide its order dated 30.06.2011 (Annexure P-2) rejected the application of the assessee.
(3.)Being aggrieved by the aforesaid order of the Assessing Officer, the assessee filed an appeal before the Commissioner of Income Tax (Appeals), (hereinafter to be referred as 'the CIT(A)', Faridabad, and the CIT (A) vide its order dated 05.10.2016 (Annexure P-3) dismissed the appeal of the assessee, while relying upon the judgment of the Hon'ble Supreme Court in case titled as Commissioner of Income Tax, Gujarat vs. Gujarat Flluro Chemicals, reported in (2014) 1 SCC 126. It is further averred that the aforesaid order of CIT(A) was again challenged by the assessee before the ITAT, by way of ITA Nos.277 to 279/CHD/2017. The appeal of the assessee was allowed by the ITAT vide its order dated 31.10.2017 (Annexure P-4) directing the revenue to pay compensation in the shape of simple interest on the amount due at the rate at which the assessee otherwise would have been entitled to, on the delayed payment of excess tax paid.
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