Case Law Details
Old age & illiteracy are important factors: HC waives Section 234A Interest
Baso Devi and others Vs Central Board of Direct Taxes and others (Punjab and Haryana High Court)
In a significant judgment, the Punjab and Haryana High Court revisited the case of Baso Devi and others versus the Central Board of Direct Taxes regarding the waiver of interest under Section 234A of the Income Tax Act, 1961.
The petitioners, legal heirs of late Megh Raj, initiated litigation seeking a waiver of interest assessed under Sections 234A, 234B, and 234C for non-submission of income tax returns from 1991 to 2000. Late Megh Raj, an illiterate individual, had filed returns after being served with notices under Section 148 of the Act. However, the authorities rejected the application for interest waiver.
In the previous round of litigation, the High Court observed that Megh Raj’s old age and illiteracy were crucial factors overlooked by the authorities. Form 15-H was signed without understanding its contents, which led to a misunderstanding. The court remanded the case for reconsideration.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
