COMMISSIONER OF INCOME TAX Vs. B. LAKSHMIKANTHAN

JUDGEMENT

(1.) THE common question raised in these two appeals filed by the Revenue against the very same assessee is whether in a reassessment completed under S. 153A r/w S. 143(1) of the IT Act (hereinafter referred to as the Act for short), interest for short payment of advance tax is to be demanded for the period provided under S. 234B(1) or S. 234B(3) of the Act. While the case of the Department is that interest is leviable under S. 234B(1) for the period stated therein, the case of the assessee is that interest could be levied under S. 234B(3) for the limited period specified therein.

(2.) WE have heard learned standing counsel appearing for the Revenue and Shri. Arun Raj learned counsel appearing for the respondent assessee.

(3.) THE question to be decided is the application and meaning of ss. 234B(1) and 234B(3) of the Act, and therefore, we extract hereunder these provisions for easy reference :