- (1.) IT is submitted by counsel appearing on behalf of both the parties that similar issue has already been decided by this Court against the Revenue in D.B. Income Tax Appeal No. 264/2011 vide judgment dated 08.05.2012. Following order was passed: The question which arises for consideration is about the payment of allowability of interest u/s.244A(1)(b) on excess payment u/s 140A(3) of the Income Tax Act. The I.T.A.T. has discussed the matter thus:
(2.) WE have heard the rival contentions and perused the facts of the case. We concur with the views of the ld. CIT(A) that Hon'ble Karnataka High Court in the case of CIT vs. NGEF Ltd., : 244 ITR 665 has held that tax paid by way of self assessment u/s 140A got adjusted against the assessed tax and thus partook the character of tax paid in pursuance of assessment order and Tribunal order and was justified in directing the AO to allow interest u/s 244(1A) of the Act after considering self assessment tax paid by the assessee. Hon'ble Karnataka High Court has relied upon Hon'ble Supreme Court judgment in the case of Modi Ind. Ltd. Vs CIT : 216 ITR 759. Similar view has been taken by Hon'ble Madras 2 D.B. INCOME TAX APPEAL NO. 260/2011 High Court in the case of CIT vs Cholamandalam Inv. and Finance Co. Ltd. : 294 itr 438 in which it was held that refund arising on account of payment of self tax assessment is eligible for interest purpose since the Govt. was liable to pay interest to the excess amount refunded to the assessee. Hon'ble Madras High Court has relied upon the Hon'ble Supreme Court judgment in the case of Sandvik Asia Ltd. Vs CIT : 280 ITR 643. Similar view has also been taken by Hon'ble Delhi High Court in the case of CIT vs Jyotsna Holding Pvt. Ltd., : 284 ITR 121 in which they have held that interest on refund arising due to excess amount paid on self assessment tax is liable for interest and they have also relied upon Hon'ble Supreme Court judgment in the case of Modi Ind.Ltd. Vs CIT, supra. Considering aforesaid direct judgments which are based upon Hon'ble Supreme Court judgment and considering clear position of Sec 244A(1)(b) of the Act, the assessee is eligible to get interest on self assessment tax payment also. Therefore, in such circumstances and facts of the case, we find no infirmity in the order of the ld. CIT(A) who has rightly allowed the claim of the assessee. Thus the solitary ground of the Revenue is dismissed.
(3.) THE decision of the Tribunal is based on the various decisions including the decision of the Apex Court in the case of Sandvik Asia Ltd. vs CIT : 280 ITR 643 and other decision in the case of Modi Ind Ltd. Vs CIT : 216 ITR 759. The decisions of the High Courts of Madras, Karnataka and Delhi have also been relied upon. We do not find any ground to take a different view of the matter. Consequently, the appeal, being bereft of merit, is hereby dismissed. This appeal, being similar, also stands dismissed in terms of aforesaid order. I.A. No. 17646/2012 is disposed of.;