OOCL LOGISTICS (INDIA ). P.LTD,MUMBAI vs. DCIT CIR 7(1), MUMBAI

The assessee has filed the present appeal against the order dated 17.01.2017 passed by the Commissioner of Income Tax (Appeals)-13 (for short ‘the CIT(A), Mumbai, pertaining to the assessment year 2009-10, whereby the Ld. CIT(A) has dismissed the application filed by the assessee u/s 154 of the Income Tax Act, 1961 (for short the ‘Act’) for rectification of appellate order passed by the Ld. CIT(A).

The assessee has challenged the impugned order passed by the Ld. CIT (A) on the following effective grounds:- 1. “Ground 1- Grant of refund It is prayed that the learned AO be directed to refund INR 46,16,231 [inclusive of interest under section 244A of the Act computed in the intimation passed under section 143 (1) of the Act] which is in the nature of amount paid in excess over the tax liability duly determined by the AO since the same does not Assessment Year: 2009-10 partake the nature of income tax and is refundable to the Appellant along with applicable interest under the Act. 2. Ground 2- Mistake apparent from record. On the facts and the circumstances of the case and in law, the learned CIT (A) has erred in not appreciating the fact that the rectification was sought on a mistake apparent from records in respect of tax refund of INR 46,16,231 not granted to the Appellant though determined to be refundable under section 143 (1) of the Act. 3. Ground 3- Non-receipt of refund by the Company The learned AO erred in determining the refund amounting to INR 7,350 (inclusive of interest under section 244A of the Act) in the assessment order passed under section 143 (3) of the Act and not considering that the refund of INR 46,16,231 determined to be refundable under section 143 (1) of the Act, shown as refunded to the Appellant had never been refunded nor has the same been adjusted against demand of any other Assessment Year(s). The Appellant prays that the learned DCIT be directed to verify the records and grant refund along with interest in accordance with the provisions of the Act and after considering due credit of taxes paid. Ground 4- Short grant of interest under section 244A of the Act The appellant prays that the AO be directed to grant interest under section 244A of the Act by considering the period for which refund has not been actually refunded.”

At the outset, the Ld. counsel for the assessee submitted that the present appeal has become academic and does not require adjudication on merits in view of the fact that the ITAT has allowed the assessee’s appeal against the order dated 08.07.2016 passed by the Ld. CIT(A) in quantum appeal, vide which the Tribunal has directed the AO to re- Assessment Year: 2009-10 determine the correct refund amount as well as interest due to the assessee and refund the same.

The Ld. departmental representative did not controvert the facts stated by the Ld. counsel and further did not oppose the submissions aforesaid.

After hearing both the sides, we asked the Ld. counsel to make written submission in this regard. Accordingly, the Ld. counsel submitted written submissions dated 24.09.2019, duly signed by the Managing Director of the Company. The relevant portion of the written submissions made on behalf of the assessee company reads as under:-