What is Abatement of proceeding before Settlement Commission? What is Credit for tax paid in case of abatement of proceedings? Section 245HA and 245HAA of Income Tax Act 1961

Abatement of proceeding before Settlement Commission and Credit for tax paid in case of abatement of proceedings are defined under section 245HA and 245HAA of Income Tax Act 1961. Provisions under these Sections are:

Section 245HA of Income Tax Act "Abatement of proceeding before Settlement Commission"

Section 245HA. (1) Where-
(i) an application made under section 245C on or after the 1st day of June, 2007 has been rejected under sub-section (1) of section 245D; or
(ii) an application made under section 245C has not been allowed to be proceeded with under sub-section (2A) or further proceeded with under sub-section (2D) of section 245D; or

(iii) an application made under section 245C has been declared as invalid under sub-section (2C) of section 245D; or

2[(iiia) in respect of any application made under section 245C, an order under sub-section (4) of section 245D has been passed not providing for the terms of settlement; or]

(iv) in respect of any other application made under section 245C, an order under sub-section (4) of section 245D has not been passed within the time or period specified under sub-section (4A) of section 245D, the proceedings before the Settlement Commission shall abate on the specified date.

Explanation.-For the purposes of this sub-section, "specified date" means-
(a) in respect of an application referred to in clause (i), the day on which the application was rejected;
(b) in respect of an application referred to in clause (ii), the 31st day of July, 2007;

 

(iv) in respect of any other application made under section 245C, an order under sub-section (4) of section 245D has not been passed within the time or period specified under sub-section (4A) of section 245D,

the proceedings before the Settlement Commission shall abate on the specified date.

Explanation.-For the purposes of this sub-section, "specified date" means-
(a) in respect of an application referred to in clause (i), the day on which the application was rejected;

(b) in respect of an application referred to in clause (ii), the 31st day of July, 2007;

 

Section 245HAA of Income Tax Act "Credit for tax paid in case of abatement of proceedings"

Section 245HAA. Where an application made under section 245C on or after the 1st day of June, 2007, is rejected under sub-section (1) of section 245D, or any other application made under section 245C is not allowed to be proceeded with under sub-section (2A) of section 245D or is declared invalid under sub-section (2C) of section 245D or has not been allowed to be further proceeded with under sub-section (2D) of section 245D or an order under sub-section (4) of section 245D has not been passed within the time or period specified under sub-section (4A) of section 245D, the Assessing Officer shall allow the credit for the tax and interest paid on or before the date of making the application or during the pendency of the case before the Settlement Commission.

Home     About Us     Privacy Policy     Disclaimer     Sitemap