Section 37A in The Kerala Agricultural Income Tax Act, 1991
37A. Reduction of interest in certain cases.
(1)Notwithstanding anything contained in this act or any judgement, decree or order of any Court or Tribunal, an assessee other than a company not being a small scale industrial unit who is in appear to pay tax due under this act for the period ending on the 31st day of March, 1997 shall be entitled to a reduction of sixty per cent of the amount of interest accrued on such tax under sub-section (4) of section 37;Provided that the entire arrears of tax with the reduction interest under the sub-section (2) shall be paid on or before 31st day of January 2000:Provided further that the maximum interest payable after allowing the reduction shall be limited to one hundred per cent of the amount of tax outstanding on the 1st day of April 1999.Provided also that where an assessee has paid the principle amount of tax or other amount due under this act prior to the 1st day of April, 1999 in pursuance of any order issued under this act by the Government or any authority, the interest payable by such assessee under this section shall be forty per cent of the interest outstanding as on the 1st day of April, 1999.(2)An assessee who opts for payment of the arrears under this section shall make an application to the Agriculture Income Tax Officer in writing on or before the 31st day of December, 1999.(3)On receipt of the application, the Agriculture Income Tax Officer shall intimate the quantum of tax due under this act and interest payable under sub-section (4) of section 37 as on the 1st day of April 1999, and the amount of interest payable after allowing the reduction of interest under this section.(4)Where any appeal or revision is pending against any order or proceeding any given rise to any demand and an assessee has opted to avail himself of the benefit under this section in respect of such demand, such appeal or revision may be continued as if the assessee had not opted for the benefit under this section.(5)Where the amount of tax is reduced in appeal or revision, the tax and the interest thereon paid in excess shall be refund to the assessee within three months from the date of receipt of the order in such appeal or revision of the assessing authority.
