COMMISSIONER OF INCOME TAX, GUJARAT vs GUJARAT FLLURO CHEMICALS LTD.

The Supreme Court addressed the question of whether interest is payable by the Revenue to the assessee when the total of Advance Tax and TDS paid exceeds the assessed tax, referencing Section 214 of the Income Tax Act, 1961. The Court doubted the correctness of its earlier decision in Sandvik Asia Limited vs. Commissioner of Income Tax & Ors., (2006) 2 SCC 508, and referred the matter for authoritative pronouncement. The Court's holding emphasizes the need for clarity on the entitlement of interest in such scenarios, indicating a potential shift in interpretation of tax law.