| Case ID |
2b45ed16-2a94-4972-9650-3ee22d3722bd |
| Body |
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| Case Number |
IT APPEAL No. 113 OF 1999 |
| Decision Date |
Jul 17, 2007 |
| Hearing Date |
Feb 05, 2003 |
| Decision |
The appeal under section 260A of the Income-tax Act, 1961 was admitted on February 5, 2003. The court formulated the substantial question of law regarding the levy of interest under sections 234B and 234C of the Act once income-tax is determined under section 115J of the Act. The court ruled that since interest is not leviable under the specified sections once income-tax is determined under section 115J, the Income-tax Appellate Tribunal's decision was justified. The appeal was dismissed based on the precedents set by the Supreme Court in CIT v. Kwality Biscuits Ltd. |
| Summary |
This case revolves around the interpretation of sections 234A, 234B, and 234C of the Income Tax Act, 1961. The substantial question of law addressed was whether the Income-tax Appellate Tribunal rightly held that no interest under sections 234B and 234C is chargeable when income-tax is determined under section 115J. The court concluded that the Tribunal was justified based on previous rulings, notably from the Supreme Court in CIT v. Kwality Biscuits Ltd. The decision highlights critical aspects of income tax assessment and interest applicability, making it significant for tax law practitioners and businesses alike. It reinforces the understanding of tax liabilities and the legal framework surrounding them, providing clarity on the application of interest provisions under the Income Tax Act. |
| Court |
Madhya Pradesh High Court
|
| Entities Involved |
Bhopal Motors Ltd.
|
| Judges |
A. K. Patnaik C.J.,
Ajit Singh, J.
|
| Lawyers |
Sanjay Lal for the Appellant,
Sumit Nema for the Respondent
|
| Petitioners |
Deputy Commissioner of Income Tax (Asstt.)
|
| Respondents |
Bhopal Motors Ltd.
|
| Citations |
2010 SLD 1871,
(2010) 323 ITR 684
|
| Other Citations |
Kwality Biscuits Ltd. v. CIT [2000] 243 ITR 519 (Kar),
CIT v. Kwality Biscuits Ltd. [2006] 284 ITR 434 (SC)
|
| Laws Involved |
Income Tax Act, 1961
|
| Sections |
234A,
234B,
234C,
260A
|