MOHAMMAD KUNHI Vs. INCOME TAX OFFICER ADDL

JUDGEMENT

(1.) THE writ applicant was an assessee to income-tax for the year 1954-55. He was assessed for that year by exhibit P-2 order, dated April 27, 1962. By that order, no interest had been charges under section 18A(6) of the Indian Income-tax Act, 1922 (hereinafter referred to as the Act). It is said that a notice dated September 3, 1964, was issued to the petitioner on September 3, 1964, asking him to show cause way interest under section 18A(8) of the Act should not be charged. It is further averred that the petitioner did not object to the date of hearing which was fixed on September 19, 1964. So an order, exhibit P-1, dated September 19, 1964, has been passed reading as under : "I find from my records that interest is due from you under section 217 as the rate of 4 per cent. in respect of the assessment for the year 1954-55 as follows :

(2.) IT is the above order that is challenged in this writ application.

(3.) THE arguments is that there was no error apparent on the record relating to the assessment that was concluded by exhibit P-2 order. THE question as to whether interest under section 18A(6) must be charged depended on the exercise of discretion vested in the Income-tax Officer by the fifth provision to that sub-section and the further questions of fact as to whether the conditions, all or any them mentioned in rule 48 of the Indian Income-tax Rules, 1922, have been satisfied. It is necessary to read sub-section (6) of section 18A and fifth provision to that section.