Re: Waiver of interest of 234D

If an assessee has been imposed interest on refund that under section 234D, can he get this amount waived if he adopts dtvsv scheme?

Please refer S. 234D (2) which says that where as a result of an order u/s 154 or 155 or 250 or 254 or 260 or 262 or 263 or 264 etc is passed the amount of refund granted under Sub section 143(1) is held to be correctly allowed, either in whole or in part as the case may be then interest chargeable, if any, under section sub -section (1) shall be reduced accordingly. Accordingly, once the issue is settled under VSV Scheme, the AO has to pass consequential order reducing the interest.

 

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