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)
New Customs Scheme for Manufacturing Sector
The Regulations enable an Authorized Importer to clear the imported goods directly from port to its manufacturing unit (‘ Authorised Premi...
-
Direct Tax · No change in the rate of corporate tax including surcharge & cess.
-
Buyback is an important provision related to Share Capital of a company. Rule 17 of the Companies Act set out norms for buyback...
-
Particulars in Part 1 and Part 2 of Step-2 of registration form are required to be exactly the same as reported in the TDS statement. Plea...
-
The Input Service Distributor (ISD) mandate, introduced in the Union Budget 2024, will take effect from April 1, 2025, as per amendments to ...
-
In this post, I will discuss Secretarial Standards related to Proxies under SS – 2. Right to Appoint: A Member entitled to attend and ...
-
The Union Budget 2025 introduces significant amendments to transfer pricing (TP) regulations under the Income Tax Act. These changes focu...
-
LEASE-DEED (A brief Introduction) Lease defined. A lease of immovable property is a transfer of a right to enjoy such property, mad...
-
The Income Tax Department has developed the latest JAVA base ITR Forms utility. ITR-1 (Sahaj) and ITR-4S (Subam) JAVA base utility has ...
-
Sr No Due Date Related to Compliance to be made 1 11.02.2025 GST ...
No comments:
Post a Comment