Sandvik Asia Limited v. Commissioner of Income Tax & Ors.

2 SCC 508Reported decision2006#10307 most cited

What is Sandvik Asia Limited v. Commissioner of Income Tax & Ors. authority for?

Interest is payable by the Revenue to the assessee if the aggregate of installments of Advance Tax or TDS paid exceeds the assessed tax. A later Supreme Court bench referred the question of whether interest is payable on excess advance tax or TDS paid to a larger bench, doubting the correctness of the Sandvik Asia Limited decision on this point.

10

judgments rely on this decision, according to BharatTax’s citation analysis of 366,315 Indian tax judgments — from 2009 to 2026.

Also referred to as

Sandvik Asia Limited · Commissioner of Income Tax · Section 244A · interest on advance tax · interest on TDS · excess tax paid · revenue refund · Supreme Court order of reference

Sections most often in play

Section 116Section 140ASection 143(3)Section 154Section 155Section 156Section 186Section 206CB
Read the full judgment

Judgments citing Sandvik Asia Limited v. Commissioner of Income Tax & Ors.

Dinesh Chand Jain, Kanpur vs. Dy. Commissioner of Income Tax, Central Circle-1, Kanpur

In the result, the appeal of the assessee is allowed

ITA 692/LKW/2025[2012-13]Status: DisposedITAT Lucknow17 Feb 2026AY 2012-13

Bench: Sh. Kul Bharat & Sh. Nikhil Choudharya.Y. 2012-13 Dinesh Chand Jain, Vs. Dy. Cit, 7/189, Swaroop Nagar, Kanpur- Central Circle-1, Kanpur 280002, U.P. Pan: Adbpj2732Q (Appellant) (Respondent) Assessee By: Sh. P.K. Kapoor, C.A. Revenue By: Sh. R.R.N. Shukla, Add Cit Dr Date Of Hearing: 04.12.2025 Date Of Pronouncement: 17.02.2026 O R D E R Per Nikhil Choudhary, A.M.: This Is An Appeal Filed By The Assessee Against The Orders Of The Ld. Ao Under Section 143(3) R.W.S. 154 Of The Income Tax Act, 1961 On 28.04.2016. The Grounds Of Appeal Are As Under:- “1.1 Because The Id. "Cit(A)" Has Erred In Law & On Facts In Upholding The Action Of The Assessing Officer In Withdrawing The Refund Of Interest Amounting To Rs. 8,20,163/-, Paid To The Assessee U/S 244A Of The Income-Tax Act, 1961 On Excess Amount Of Self-Assessment Tax Paid U/S 140A Of The Act. 1.2 Because The View Taken By Id. "Cit(A)" While Upholding The Action Of The Assessing Officer Is Based On Misinterpretation Of The Provisions Of Clause (B) Of Sub-Section (1) Of Section 244A Of The Act, As Applicable At The Relevant Point Of Time. 2. Because, In Any Case & Without Prejudice To The Grounds Hereinfore, While Upholding The Action Of The Assessing Officer In Withdrawing The Interest Paid To The Assessee U/S 244A Of The Act, The Ld. "Cit(A)" Failed To Appreciate That The Issue Of Payment Of Interest On Excess Amount Paid U/S 140A Was Debatable In Nature & It Could Not Have Been Decided By Invoking The Provisions Of Section 154 Of The Act As The Same Did Not Constitute A Mistake Apparent From The Record.

For Appellant: Sh. P.K. Kapoor, C.AFor Respondent: Sh. R.R.N. Shukla, Add CIT DR
Section 140ASection 143(3)Section 154Section 240Section 244Section 244ASection 244A(1)(a)Section 244A(1)(b)

…(2007) 294 ITR 438. Besides this, it referred to the decision of the Hon’ble Madras High Court in the case of CIT vs. Needle Industries P. Ltd. 233 ITR 370 and its own judgment in the case of Sandvik Asia Ltd vs Commissioner Of Income Tax-I, Pune & Ors (2006) 2 SCC 508. It also quoted from the decisions rendered by the Hon’ble Supreme Court in CIT vs. HEG Limited (2010) 189 taxman 335 (SC) and Universal Cables Limited vs. CIT (2020) 113 taxman.com 353. Accordingly, the assessee submitted that tax paid on self- assessment would fall under section 244A(1)(b) which was the residuary clause covering refunds of amount…

Lm Wind Power Blades (India) Pvt Ltd vs. Union of India

In the result, I pass the following:-

WP/16917/2022HC Karnataka24 Nov 2022

Bench: The Hon'Ble Mr.Justice S.R.Krishna Kumar

Section 54

…1 IN THE HIGH COURT OF KARNATAKA, BENGALURU DATED THIS THE 24TH DAY OF NOVEMBER, 2022 BEFORE THE HON'BLE MR.JUSTICE S.R.KRISHNA KUMAR WRIT PETITION No.16917 OF 2022 (T-RES) BETWEEN: LM WIND POWER BLADES (INDIA) PVT LTD A COMPANY INCORPORATED UNDER THE PROVISIONS OF THE COMPANIES ACT, 1956 HAVING ITS REGISTERED OFFICE AT PLOT NO.85, KIADB INDUSTRIAL AREA, PHASE II THIMMANAYAKAHANAHALLI, SOMAPURA HOBLI DOBESPET, BANGALORE-562111 REPRESENTED BY ITS AUTHORIZED SIGNATORY MR SHOVIT GUPTA TAX MANAGER …PETITIONER (BY SRI. TUSHAR JARWAL., ADVOCATE FOR SRI. RAGHURAM…

The Commissioner of Income Tax vs. M/S. Abb Ltd

In the result, appeal stands dismissed

ITA/568/2015HC Karnataka04 Oct 2021

Bench: S.SUJATHA,RAVI V HOSMANI

Section 143Section 2(24)Section 220Section 220(2)Section 254Section 260Section 260ASection 45

…interest under Section 220[2] of the Act. The Revenue’s stand that charging interest on interest is permissible in terms of the decision of the Hon'ble Apex Court in the case of Sandvik Asia Ltd., V/s. Commissioner of Income Tax I, Pune and Others [(2006) 2 SCC 508] is wholly misconceived. - 26 - 23. In Sandvik Asia Ltd., supra, the Hon’ble Court was considering the payment of interest by the Revenue, in the context of withholding the amounts unjustifiably. The Hon’ble Court enunciated the principles, assuming that there is no provision in the Act for payment for compensation, co…

Oil and Natural Gas Corporation Ltd., Dehradun vs. DCIT, Dehradun

ITA 1434/DEL/2017[1991-92]Status: DisposedITAT Delhi28 Sept 2020AY 1991-92

Bench: Sh. Amit Shukladr. B. R. R. Kumar(E-Court Module) Ita No. 1434/Del/2017 : Asstt. Year : 1991-92 Oil & Natural Gas Corporation Ltd., Vs Dcit, Deputy General Manager (F&A)-Ctd, Circle-1, Corporate Tax Division, Room No. Dehradun-248001 244, Old Secretariat Building, Tel Bhawan, Dehradun-248003 (Appellant) (Respondent) Pan No. Aaaco1598A Assessee By : Sh. Ajay Vohra, Sr. Adv. Revenue By : Ms. Pramita M. Biswas, Cit Dr Date Of Hearing: 23.06.2020 Date Of Pronouncement: 28.09.2020

For Appellant: Sh. Ajay Vohra, Sr. AdvFor Respondent: Ms. Pramita M. Biswas, CIT DR
Section 140ASection 154Section 244ASection 244A(1)(b)

…Chemicals 358 ITR 291. 33. We have perused the same, the relevant portion of the said judgment is as under: “Doubting the correctness or otherwise of the decision of this Court in the case of Sandvik Asia Limited vs. Commissioner of Income Tax & Ors., (2006) 2 SCC 508, a bench of two learned Judges has referred the following question of law for our consideration and authoritative pronouncement by order dated 28.08.2012: "The question which arises in this case is, whether interest is payable by the Revenue to the assessee if the aggregate of installments of Advance Tax OF TDS paid exceeds the assessed tax?" 2.…

Deputy Commissioner of Income Tax, Jaipur vs. Rajasthan Rajya Vidyut Prasaran Nigam Ltd., Jaipur

In the result, the appeal of the revenue stands allowed

ITA 1010/JPR/2017[2001-02]Status: DisposedITAT Jaipur27 Feb 2018AY 2001-02
For Appellant: Shri P.C. Parwal (CA)For Respondent: Smt. Richa Khoda (CIT) fu/kZkfjrh dh vksj ls@
Section 244A

…(supra) has clarified that it is only that interest provided for under the statute, which may be claimed by the assessee from the revenue and no interest on such statutory interest. The ratio laid down in the case of Sandvik Asia Limited Vs CIT & Ors. (2006) 2 SCC 508 is not at all applicable to the facts of the assessee’s case. In that case, the Hon'ble Supreme Court directed the revenue to pay compensation for an inordinate delay on the part of revenue in refunding the amount which includes the statutory interest but in assessee’s case no such facts exists wherein the revenue can be said to be at fault for…

Graphite India Ltd., Kolkata vs. Addi. Commissioner of Incime Tax, Range - 11, Kolkata

In the result, the appeal of the assessee is partly allowed as indicated above

ITA 397/KOL/2008[1998-99]Status: DisposedITAT Kolkata15 Jan 2016AY 1998-99

Bench: Shri P.M. Jagtap & Shri S.S. Viswanethra Ravi

…19. As regards the issue involved in Ground No. 9 relating to the assessee’s claim for interest on delayed payment, the ld. Counsel for the assessee has relied on the decision of the Hon’ble Supreme Court in the case of Sandvik Asia Limited –vs.- CIT (2006) 2 SCC 508. The ld. D.R., on the other hand, has relied on the subsequent decision of the Hon’ble Supreme Court in the case of CIT –vs.- Gujarat Fluoro Chemicals reported in 358 ITR 291, wherein it was held by the Hon’ble Apex Court, after taking into consideration its earlier decision rendered in the case of Sandvik Asia Limited (supra), that the assessee is…

CIT vs. Engineers India Ltd

In the result, the appeal is

ITA - 300 / 2012HC Delhi26 Feb 2015
Section 10(33)Section 140ASection 142(1)Section 143(1)Section 143(2)Section 143(3)Section 14ASection 199Section 244ASection 244A(1)(a)

…sment tax) does not find any mention in section 244A. The assessee is thus not entitled for any interest on self assessment tax.” 12. The Revenue relies on decisions of Supreme Court in Sandvik Asia Limited v. Commissioner of Income Tax & Ors., (2006) 2 SCC 508, Commissioner of Income Tax, Gujarat v. Gujarat Fluoro Chemicals, 2013 (296) E.L.T. 433 (S.C.) and Union of India v. Tata Chemicals, (2014) 6 SCC 335 to contend that interest is payable to the assessee only if it is so provided under the statute. 13. Per contra, the respondent-assessee refers to Commissioner of Income Tax v. Sutlej Industrie…

Commissioner of Income Tax, Gujarat vs. Gujarat Flluro Chemicals Ltd

C.A. No.-003507-003507 - 2014Supreme Court18 Sept 2013
Section 214

…EAL No.4364 OF 2012 CIVIL APPEAL No.4365 OF 2012 AND WITH CIVIL APPEAL No.4366 OF 2012 O R D E R 1. Doubting the correctness or otherwise of the decision of this Court in the case of Sandvik Asia Limited vs. Commissioner of Income Tax & Ors., (2006) 2 SCC 508, a bench of two learned Judges has referred the following question of law for our consideration and authoritative pronouncement by order dated 28.08.2012: "The question which arises in this case is, whether interest is payable by the Revenue to the assessee if the aggregate of installments of Advance Tax OF TDS paid…

M.G.F.India Ltd vs. Commissioner Ofincome Tax

ITA - 33 / 2009HC Delhi30 Oct 2009
Section 143(1)(a)Section 254A

…ng that the appellant was not entitled to the interest by way of compensation to be calculated for "every month or part of the month" on the amounts of taxes paid from the date of actual Sandvik Asia Ltd. v. Commissioner of Income Tax I, Pune & Ors., (2006) 2 SCC 508 where the entire or almost entire additions and disallowances made by the Assessing Officer (AO) stand ultimately deleted wiping out the entire or almost entire additional demand so created. In essence the assessees are claiming interest on interest by way of compensation on the premise that the interest amount was wrongfully withheld by the respon…

The Motor & General Finance Ltd. etc. etc vs. Commissioner of Income Tax-VI, New Delhi

ITA-35/2009HC Delhi30 Oct 2009
Section 143(1)(a)Section 143(3)Section 154Section 254A

…t of the month” on the amounts of taxes paid from the date of actual id d i S i 244A(1)(b) f h I T A 2009:DHC:4559-DB as defined in the judgment of the Supreme Court in the case of Sandvik Asia Ltd. v. Commissioner of Income Tax I, Pune & Ors., (2006) 2 SCC 508 where the entire or almost entire additions and disallowances made by the Assessing Officer (AO) stand ultimately deleted wiping out the entire or almost entire additional demand so created. In essence the assessees are claiming interest on interest by way of compensation on the premise that the interest amount was wrongfully withheld by the…

Sandvik Asia Limited v. Commissioner of Income Tax & Ors. (2 SCC 508) — Cited in 10 Judgments | BharatTax