| Case ID |
443fd9e5-91aa-4266-aea8-11f51f5137ee |
| Body |
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| Case Number |
TAX CASE No. 140 OF 1960 |
| Decision Date |
Aug 20, 1962 |
| Hearing Date |
|
| Decision |
The Madras High Court held that the Income-tax Officer does not have the discretion to reduce or waive the interest payable under section 18A(8) of the Income-tax Act, 1922. The court found that the fifth proviso to section 18A(6), which allows for discretion in waiving interest, is not applicable to cases falling under section 18A(8). Therefore, the Tribunal was justified in setting aside the direction given by the Appellate Assistant Commissioner to determine interest payable by the assessee according to the fifth proviso of section 18A(6). The case illustrates the clear distinction in the application of interest provisions under different subsections of the Income-tax Act. |
| Summary |
This case revolves around the interpretation of advance tax provisions under the Income-tax Act, specifically sections 18A(6) and 18A(8). The petitioner, T. Panchavarnathammal, was the sole proprietrix of a business in lucifer matches. The case highlights the importance of understanding the conditions under which interest on advance tax is applicable. The court examined the timeline of assessments and the responsibilities of the Income-tax Officer, ultimately ruling that the discretion to waive interest does not extend to cases where no advance tax was paid. This ruling is significant for taxpayers and legal practitioners as it clarifies the legal framework governing advance tax interest liabilities. Keywords such as 'Income-tax Act', 'advance tax', 'interest liability', and 'Madras High Court ruling' are pertinent for those researching tax law and its implications. |
| Court |
Madras High Court
|
| Entities Involved |
Gem Match Works,
Virudhunagar
|
| Judges |
Jagadisan,
Srinivasan
|
| Lawyers |
|
| Petitioners |
T. Panchavarnathammal
|
| Respondents |
Commissioner of Income Tax
|
| Citations |
1972 SLD 556,
(1972) 86 ITR 527
|
| Other Citations |
Not available
|
| Laws Involved |
Income-tax Act, 1961,
Indian Income-tax Act, 1922
|
| Sections |
217,
215,
18A(6),
18A(8),
18A(8),
18A(6)
|