- (1.) Heard counsel for the parties.
(2.) These writ petitions are being filed by the Petitioners against the orders issued by the designated authority under Kar Vivad Samadhan Scheme (Annexure-9). According to the Petitioners, the delineation of interest at Annexure-9 under Section 220(2) of the I.T. Act, is not according to the scheme of KVSS (Annexure-5) and therefore the interest part being inclusive, which is not sanctioned by the Scheme, therefore, is liable to be struck down.
(3.) For brining home his point, learned Counsel for the Petitioners emphasized that by assessment orders passed by the Assistant Commissioner of Income Tax that after an assessment, a penalty order was passed in the Assessment Year 1991-92 against the Petitioner and in that order, a total penalty of Rs, 6,32,781/- was levied against the Petitioner. This levy of penalty was upheld by the Appellate Authority i.e. C.I.T. (Appeals) vide its order dated 11.3.1997 and C.I.T. (Appeals) upheld the penalty as imposed by the Assistant Commissioner of Income Tax. According to the Petitioner, against the order of rejection of appeal by the C.I.T., the Petitioner had gone to the Income Tax Appellate Tribunal and his appeal was pending before the I.T.A.T. On that day, when K.V.S.S. came into force, he made an application to the designated authority to take benefit of the scheme. The case of the Petitioner is that the penalty amount alone as determined is the amount of Rs. 6,32,781/-.;