COMMISSIONER OF INCOME TAX Vs. RUTESHBHAI K BHATT

JUDGEMENT

(1.) The following question has been referred by the Income Tax Appellate Tribunal, Ahmedabad Bench 'C' under Section 256(1) of the Income Tax Act,1961 (the Act), for the opinion of this Court at the instance of the Commissioner of Income Tax, Gujarat II, Ahmedabad :

(2.) The Assessment Year is 1982-83 and the relevant accounting period is the year ended on 31/12/1981. The Income Tax Officer charged interest under Section 215 of the Act consequent to the order of the Commissioner under Section 263 of the Act.

(3.) The assessee carried the matter in Appeal before the CIT(Appeals), who deleted the interest charged by the Income Tax Officer under Section 215 of the Act on the ground that sub-section (3) of Section 215 of the Act came into effect only from 1/4/1985 and was therefore, not applicable for the Assessment Year 1982-83.