Commissioner of Income Tax vs M/s Hindustan Bulk Carriers, M/s Damani Brothers

The Supreme Court clarified the provisions of the Income Tax Act, 1961, specifically Sections 245A, 245B, 245C, and 245D, regarding the Settlement Commission's authority and the mandatory nature of interest under Sections 234A, 234B, and 234C. The Court held that the Settlement Commission does not have the power to waive or reduce statutory interest, which is required to be paid by the assessee from the date the amount becomes due. The judgment reaffirmed the legal principle that statutory interest is mandatory and cannot be altered by the Settlement Commission.