HC
holds that interest u/s 42 of Delhi VAT Act on refund of VAT amount accrues
after period specified for processing refunds/returns u/s 38(3)(a) and not from
date of filing return; Observes that sub-clauses (i) and (ii) of Section
38(3)(a) mandate refund within 1 or 2 months depending upon tax period (i.e.
monthly or quarterly) and Section 42(1) prescribes simple interest payable on
such refund at a rate notified by Government; Harmonious reading of Sections 38
and 42 clearly indicates that interest is to be paid from the date when same is
due to be paid to assessee or date when excess amount was paid, whichever is
later, and date 'when refund is due' would be the date mentioned in Section 38
(i.e. when refund becomes payable); Remarks, since both Sections 38(3) and
42(1) do not refer to the date of filing of return, same obviously cannot be
the starting point for interest payment, and “Obligation of the assessee to pay
tax and date when tax is payable, and the duty and date on which refund is
payable by the Revenue need not coincide and could be different as per the
statute”; Further, elucidates that, said interpretation is not in conflict with
Section 11 which deals with computation formula to calculate tax payable and
empowers dealer to seek adjustment or refund in case of a negative net
tax : Delhi HC
Subscribe to:
Post Comments (Atom)
Delhi HC holds 10% pre-deposit requirement for penalty-only appeals inapplicable where SCN was issued before amendment
This Tax Alert summarizes a recent ruling of the Delhi High Court (HC) [1] on whether the newly introduced pre-deposit requirement for fi...
-
ITC is blocked on motor vehicles having seating capacity ≤ 13 persons (including the driver) used for the transportation of persons. Furth...
-
A new website launched for TDS related matters www.tdscpc.gov.in TRACES – T DS R econciliation A nalysis and C orrection E nabling S yste...
-
This Tax Alert summarizes a recent judgement of the Delhi High Court (HC)on imposition of penalty on directors of a company under the Ce...
-
Recently, in a significant taxpayer-friendly ruling, the Hon’ble Mumbai ITAT, in the case of Nikesh Bhagwandas Mehta vs. ITO , has clarifi...
-
Section 68 -Cash credits Section 69 -Unexplained investments Section 69A - Unexplained money, etc Section 69B -Amount of investme...
-
THE issues before the Bench are - Whether when an expenditure is claimed to have been incurred by an assessee for promotion of his busine...
-
Income Tax Department had clarify that the renting of mobile tower would attract lower TDS Deductions u/s. 194-I and not u/s...
-
LEASE-DEED (A brief Introduction) Lease defined. A lease of immovable property is a transfer of a right to enjoy such property, mad...
-
This Tax Alert summarizes a recent Circular issued by the Central Board of Indirect Taxes and Customs (CBIC) clarifying the manner of gra...
-
This Tax Alert summarizes a recent judgement of the Kerala High Court (HC) 1 upholding the validity of GST notifications 2 extending the t...
No comments:
Post a Comment