INCOME TAX ACT, 1961

Section 220(2A)

Levy of interest under section 220(2) - Applicability of section 220(2A) - Assessee seeking for waiver of Interest blaming income tax department for delay in refund of the amounts to company of which assessee was director -

Assessee sought for waiver of interest in terms of section 220(2A) pleading that assessee was were Director of Kamatchi Industries Limited. IT Department was required to refund amount to said company and if amount had been refunded in time to the said company, assessee would have discharged tax liability as well as interest thereon in time. In any event, the tax and interest was paid, though belatedly and, therefore, assessee was entitled for waiver of interest. Held: Assessee could not blame income tax department for delay in refund of the amounts to the company of which assessee was director. Assessee and the company are two separate and distinct assessees. Further, amount was demanded, based on search conducted. None of the limbs of section 220(2A) was satisfied by assessee to claim waiver of interest. Therefore, Civil Miscellanelus Appeal was dismissed.