Assessment of the deductee was completed at loss for the\u00a0 assessment years 2008-09 to 2011-12. \u00a0The Department recovered amounts from the deductor on account of interest under section\u00a0201(1A)\u00a0of the Act.\u00a0 On writ the\u00a0 High Court held that in a situation where the assessee, having been assessed at a loss figure, was not required to pay any tax on its income, there was no reason to hold the deductor in default under section\u00a0201(1)\u00a0and\u00a0(1A)\u00a0of the Act, that interest recovered under section\u00a0201(1A)\u00a0of the Act could not be legally retained by the Department and ought to have been refunded and directed the Department to refund the interest amount collected under section\u00a0201(1A)\u00a0of the Act from the deductor on behalf of the assessee together with interest under section\u00a0244A\u00a0of the Act, who in turn, shall pay it to the assessee in accordance with law. SLP of Revenue is dismissed.\u00a0 \u00a0(AY.2008-09 to 2011-12)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 201 : Deduction at source-Failure to deduct or pay-Recipient of income assessed at loss-Not liable to pay tax-Deductor is not liable to pay interest-Direction to department to refund the sums collected with interest-SLP of Revenue is dismissed. [S. 195,197, 201(1), 201(IA), 243, 244A, Art. 136] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-39183","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-abZ","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/39183","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=39183"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/39183\/revisions"}],"predecessor-version":[{"id":39184,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/39183\/revisions\/39184"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=39183"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=39183"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=39183"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}