Section 139(8) — the law in short
What the courts have decided on section 139(8), in one screen. Read this first; open an entry when you need the facts, the reasoning and the source.
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Central Provinces Manganese Ore Co. Ltd. v. CIT — interest under s.215 can be disputed in appeal only on the ground of total non-liability, and waiver must first be asked of the Assessing Officer
Supreme CourtHelps departmentValidity unconfirmed
The assessment order charges interest under s.215 (or s.217, or s.139(8)). Can I appeal against the interest, and if not, how do I get it reduced?
The Supreme Court held that because the levy of interest is a part of the process of assessment, an assessee may dispute it in appeal, but only if he limits himself to the ground that he is not liable to the levy at all; a complaint about the quantum, or about the refusal of relief on the merits, is not within the appeal. The route for reduction is the statutory waiver power — s.215(4), and the corresponding provision for s.139(8) interest — and the Court held that where the assessee has made no application to the Income-tax Officer for reduction or waiver, there has been no improper denial of relief, so no revision petition to the Commissioner can be maintained in that regard either.
Listed strongest first: Supreme Court, then High Court, then Tribunal, then CBDT. Nothing here has yet been read in full by a chartered accountant — open an entry to see where it came from.