AIR 1969 MADHYA PRADESH 100 ::73 ITR 95 ::1669 MPLJ 61 ::1969 JabLJ 798 ::ILR (1973) MP 49

Madhya Pradesh High Court

Hon'ble Judge(s): P. V. Dixit , C.J. AND G. P. Singh , J

(A) Income-Tax Act (43 of 1961) , S.220(2)— Effect of amendment - Liability to pay enhanced rate of interest at six per cent arises only in respect of those assessees in whose case "the day commencing after the end of the period mentioned in Sub-s.(1)" is the day on or after 01-04-65 - Assessee required to pay tax before 01-04-65 by a notice of demand - Facility to pay the amount by instalment granted on payment of five per cent interest on unpaid amount - Assessee cannot be required to pay enhanced rate of interest at six per cent from 1-4-65, as a result of amendment of Sub-s.(2) of S.220. (Para 8 10) (B) Income-Tax Act (43 of 1961) , S.220(3)— Expression "without prejudice to the provisions contained in sub-s.(2)" means that grant of time for payment cannot absolve the assessee from payment of interest as provided in sub-s.(2) from the day commencing after the end of the period mentioned in sub-s.(1). (Para 10) .....