DCITM CIRCLE-14(1)(2), MUMBAI V. M/S INVENIRE PETRODYNE LIMITED , MUMBAI

ITA 1793/MUM/2023

AI Insights

The case involves M/s. Invenire Petrodyne Ltd., the respondent, who appealed against the order of the learned Commissioner of Income Tax (Appeal)/National Faceless Appeal Centre, which pertained to the non-grant of interest on a refund arising from self-assessment tax paid under section 244A of the Income Tax Act, 1961. The Assessing Officer had rectified the original order but did not grant interest on the refund. The Commissioner, referencing decisions from the Karnataka and Delhi High Courts, directed the Assessing Officer to verify and grant the interest if it had not been previously awarded. The Tribunal agreed with the Commissioner's decision, finding no error in the application of the law or the precedents cited.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136465 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-08-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 07-08-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 18-05-2023
• Other Referred Cases: M/s. Stock Holding Corporation of India Ltd. Vs. N.C. Tewari, Commissioner of Income Tax v/s Vijaya Bank, Commissioner of Income Tax v/s Sutlej Industries Ltd.
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 154; 143(3); 244A; 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI “C” BENCH, MUMBAI Before Shri Prashant Maharishi, Accountant Member & Shri Narender Kumar Choudhry, Judicial Member ITA No. 1793/Mum/2023 (Assessment Year: 2014-15) DCIT, Circle - 14(1)(2) Room No. 455, 4th Floor Aayakar Bhavan, M.K. Road Mumbai 400020 Vs. M/s. Invenire Petrodyne Ltd. The Metropolitan, Plot No. C26/27 E-Block, 5 th Floor, BKC, Bandra (East), Mumbai (Mahrashtra ) -400051 PAN – AAACT0090N Appellant Respondent Appellant by: Shri H.M. Bhatt, Ld. Sr. AR Respondent by: None (Adjournment letter) Date of Hearing: 08.08.2023 Date of Pronouncement: 21.08.2023 O R D E R Per: N.K. Choudhry, JM This appeal has been preferred by the Assessee against the order dated 20.03.2023 impugned herein passed by the learned Commissioner of Income Tax (Appeal)/National Faceless Appeal Centre, Delhi (NFAC) (in short ld. Commissioner) under section 250 of the Income Tax Act, 1961 (in short the Act) for AY 2014-15. 2. In the instant case, the Assessing Officer (AO), vide order dated 15.05.2018 under section 154 of the Act, though rectified the original order dated 28.02.2018 passed under section 143(3) r.w.s. 144C (3) of the Act, however, did not grant interest on refund arising out of the self-assessment tax paid by the Assessee under section 244A of the Act. ITA No. 1793/Mum/2023 M/s. Invenire Petrodyne Ltd. 2 3. The Assessee being aggrieved, challenged the non-grant of interest before the learned Commissioner, who by considering the bare provisions of section 244A(1)(aa) of the Act and the decision of the Hon'ble Jurisdictional High Court in the case of M/s. Stock Holding Corporation of India Ltd. Vs. N.C. Tewari (WP 823 of 2000 decided on 17.11.2014) wherein it was held as under: - “13. We find support for our view from the decision rendered by Karnataka High Court in Commissioner of Income Tax v/s Vijaya Bank [2011] 338 ITR page 489 and Delhi High Court in Commissioner of Income Tax v/s/ Sutlej Industries Ltd. [2010] 325 ITR page 331. In both cases in identical circumstances it was held that interest is payable from the date of payment of the tax on self-assessment to the date of refund of the amounts under Section 244A of the Act.” Ultimately directed the AO to verify the claim of the Assessee and grant interest as per law, if the amount of Rs.32,40,833/- has not been granted earlier. 4. We have given thoughtful consideration to the peculiar facts and circumstances of the case and observe that the learned Commissioner by granting afore-stated relief and allowing particular ground of appeal in this regard, not only considered the relevant provisions of section 244A(1)(aa) of the Act in its right perspective but also correctly followed the judgement of the Hon'ble High Court in Stock Holding Corporation of India Ltd. (supra), hence in our considered view there is no perversity, impropriety and/or illegality in the impugned order and therefore do not require any interference. ITA No. 1793/Mum/2023 M/s. Invenire Petrodyne Ltd. 3 5. In the result, the appeal filed by the Revenue stands dismissed. Pronounced in the open Court on 21 st August, 2023. Sd/- Sd/- (Prashant Maharishi) (Narender Kumar Choudhry) Accountant Member Judicial Member Mumbai Copy to: 1. The Appellant 2. The Respondent 3. The CIT concerned 4. The DR, ITAT, Mumbai 5. Guard File By Order //True Copy// Assistant Registrar ITAT, Mumbai n.p.