Interest on Refund!

Last updated: 25 September 2007

Court :
Addl. C.I.T.

Brief :
Case Fact: Whether assessee is entitled to interest on refund due on account of payment of excess self assessment tax u/s 140A?

Citation :
Addl. C.I.T. Vs. Grindwell Norton Ltd 12/20/2005 (2006) 285 ITR (AT) 13 (Mumbai)

Held by the Hon`ble Bench that section 244A(1)(b) applies to "in any other case" which includes refund of tax as a result of payment of self assessment tax. It is further provided that interest shall be payable on the amount held and utilised by the government in excess of the amount of tax due, thus the assessee was entitled to interest u/s 244A on excess amount paid u/s 140A.