Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Income Tax Act 1961 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Income Tax Act, 1961: Chapter XIX-A introduced by Taxation Laws (Amendment) Act, 1975; Sections 220(2), 234 A, B, C, 245(c) and 245 D: Petition for Settlement filed by assessee-Assessment order by Income Tax authority during pendency of petition-Validity of-Held, as per provisions of law, income-tax authorities could proceed in the matter till Commission decides to proceed with the petition. Chapter XIX-A-Settlement Commission's power of settlement-Exercise of-Commission could exercise its power of settlement only after allowing the petition to be proceeded with-It must take notice of both the disclosed and undisclosed income to determine total income for the same assessment year. Waiver/Reduction of interest-Power of Commission-Held, Commission in appropriate cases, on fulfilment of stipulated conditions by the assessee as per provisions of the Act, could direct waiver or reduction of interest. Levy of interest for non-payment of advance Tax and for delay in payment of interest-Held, Double levy of interest is not permissible for same F set of infractions-However, levying of interest in terms of Section 234A, B and C and 245(D) amounted to levy of interest for distinct infractions-Hence separate levy of interest and does not amount to double levy. Revenue filed the present appeal against the order of Settlement Commission. The appeal was earlier placed before a two-Judge Bench and it G was considered appropriate to place it before three-Judge Bench. The basic issue which arose in the appeal is whether the Settlement Commission could get itself substituted to income-tax authorities under the Income Tax Act, and if so, the purpose and extent of such substitution. It was contended for the Revenue that the power of waiver of interest is not conferred on the Commission for the interest charged under Section A 220(2) of the Income Tax Act. On behalf of the assessee, it was submitted that on receipt of a petition for settlement, the Commission gets jurisdiction to deal with the matter and it assumes powers of income-tax authorities till admission of the petition; that after admission of such petitions it functions as a Settlement Commission B exercising additional powers un~er theĀ· provisions of the Income Tax Act; and that there could not be double levy of interest. |
Judge | Hon'ble Dr. Justice Arijit Pasayat |
Neutral Citation | 2002 INSC 546 |
Petitioner | Commissioner Of Income Tax, Mumbai |
Respondent | M/s. Daman! Brothers |
SCR | [2002] Supp. (5) S.C.R. 424 |
Judgement Date | 2002-12-17 |
Case Number | 7428 |
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