Section 234C Interest Waiver Denied Without Reasons Set Aside for Non-Application of Mind

Kanhaiyalal Dudheria Vs Chief Commissioner of Income Taxes (Karnataka High Court) The Karnataka High Court examined the legality of an order passed under Section 119(2)(a) of the Income Tax Act, 1961, by which a request for waiver of interest levied under Section 234C for the assessment year 2008–09 was partly rejected. The petitioner, a partnership firm engaged in iron ore mining, contended that its business remained dormant for several years and commenced only after renewal of the mining licence in the later part of the financial year. Interest under Section 234C was levied for non-payment...