Case Law Details
Tata Steel Limited Vs ACIT (ITAT Mumbai)
The issue under consideration is whether the assessee is entitled for interest u/s.244 of the Act from the date of payment of taxes till the date such taxes were actually adjusted against the demand of some other assessment year?
ITAT states that while giving effect to the order of the Tribunal order in the proceedings passed by the ld. AO, the ld. AO had finally determined the refund which was ultimately adjusted against the demand of A.Y.2009-10. Hence, this is a case of assessee seeking interest on the taxes actually paid by him which ultimately resulted in refund. This is not a case of assessee claiming interest on interest. Hence, ITAT direct the ld. AO to grant interest u/s.244 of the Act from the date of payment of taxes till the date such taxes were actually adjusted against the demand of some other assessment year.
Accordingly, the appeal filed by the assessee is allowed.
FULL TEXT OF THE ITAT JUDGEMENT
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