Income Tax Bench answered the Revenue's reference, holding that the ITAT was correct in law in finding that overdue interest on demand bills is not chargeable to tax.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
THE HON’BLE SRI JUSTICE L.NARASIMHA REDDY AND THE HON’BLE SRI JUSTICE T.SUNIL CHOWDARY R.C.No.63 of 2001
JUDGMENT: (Per LNR,J)
This reference is made at the instance of the Revenue by the Hyderabad Bench of the Income Tax Appellate Tribunal, by framing the following question:
Whether on the facts and in the circumstances of the case, the ITAT is correct in law in holding that overdue interest on the demand bills is not chargeable to tax under Income Tax Act, 1974?
In all fairness, the learned Standing Counsel for the Income Tax submitted that identical question was dealt with in R.C.No.46 of 1999. Through its order, dated 10.06.2014, this Court answered the refe7rence in favour of the respondent i.e., assessee.
Following the same, we answer the question against the applicant and in favour of the assessee i.e., respondent.
____________________ L.NARASIMHA REDDY, J
T.SUNIL CHOWDARY, J
Date: 13.08.2014 JSU
THE HON’BLE SRI JUSTICE L.NARASIMHA REDDY AND THE HON’BLE SRI JUSTICE T.SUNIL CHOWDARY
R.C.No.63 of 2001
Date: 13.08.2014 JSU
1 issue framed by the court
Whether overdue interest on demand bills is chargeable to tax under Income Tax Act?
Revenue
assessee
L.NARASIMHA REDDY
T.SUNIL CHOWDARY
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
