“advance tax”

Chapter XVII - Collection & Recovery (Advance tax)Chapter XVII-CSection 2(1) / Chapter XVII-C / ITR Schedule IT1,785 judgments

The decision most relied on for advance tax is Bajaj Tempo Ltd. v. CIT (196 ITR 188), cited in 289 judgments on BharatTax.

Leading authorities on advance tax

Bajaj Tempo Ltd. v. CIT

196 ITR 188 · 1992 · Supreme Court

289

citing judgments

Provisions in taxing statutes that grant incentives, concessions, or exemptions for promoting economic growth and industrialization must be interpreted liberally and purposively. Any restrictions placed on such provisions should also be construed reasonably to advance their objective, not frustrate it.

DIT v. GE Packaged Power Inc.

373 ITR 65 · 2015 · High Court

199

citing judgments

Interest under section 234B for default in payment of advance tax is not leviable when the entire income is subject to tax deduction at source under section 195, as no advance tax liability arises for the assessee in such circumstances.

Sreenivas Charitable Trust v. Dy. CIT

280 ITR 357 · 2006 · High Court

182

citing judgments

The expression "sufficient cause" for condoning delay in filing appeals must receive a liberal and purposive construction. This approach aims to advance substantial justice, which is of paramount importance.

Pradip Kumar Malhotra v. CIT

338 ITR 538 · 2011 · High Court

152

citing judgments

Section 2(22)(e) of the Income Tax Act, which addresses deemed dividends, does not apply to loans or advances provided by a company to its shareholders if these transactions occur in the normal course of business, are driven by business expediency, or are made in consideration of a benefit conferred upon the company by the shareholder. Conversely, gratuitous loans or advances given to shareholders fall within the purview of this section.

DIT v. NGC Network Asia LLC

313 ITR 187 · 2009 · High Court

144

citing judgments

Where a duty is cast on the payer to deduct and pay tax at source under Section 195, the payee-assessee cannot be levied interest under Section 234B for failure to pay advance tax if the payer defaults on its TDS obligation. This principle may also extend to interest under Section 234C.

Topman Exports v. CIT

342 ITR 49 · 2012 · Supreme Court

121

citing judgments

Export incentives, such as DEPB (Duty Entitlement Pass Book) and advance license benefits, constitute income taxable on an accrual basis under Section 28 of the Income-tax Act. Profit arising on the transfer of DEPB is not eligible for deduction under Section 80HHC.

CIT v. Creative Dyeing & Printing Pvt. Ltd.

318 ITR 476 · 2009 · High Court

119

citing judgments

Genuine trade advances or amounts advanced for bona fide business transactions, driven by commercial expediency, do not fall within the definition of deemed dividend under section 2(22)(e) of the Income-tax Act.

CIT v. Raj Kumar

318 ITR 462 · 2009 · High Court

119

citing judgments

Genuine trade advances made by a company in the ordinary course of business to a shareholder do not fall within the definition of deemed dividend under Section 2(22)(e) of the Income-tax Act.

Judgments citing advance tax

Shri Harbans Lal Sharma, Kathua vs. Income Tax Officer Ward- 1 ( 4 ), Kathua

In the result, the appeal of the assesse is allowed for statistical

ITA 69/ASR/2023[2012-13]Status: DisposedITAT Amritsar12 May 2023AY 2012-13

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 147

Counsel submitted that the appellant did not file the return of income for the relevant financial year, however, he has paid an advance tax of Rs.6,580/-. The appellant has further submitted that he deals in recharge of prepaid telecom coupons and merely earns commission on recharge which

Cane Development Council Titawi, Muzaffarnagar vs. ITO, Ward- 1(2), Muzaffarnagar

In the result, appeal of the assessee is allowed

ITA 4356/DEL/2019[2014-15]Status: DisposedITAT Delhi03 May 2023AY 2014-15

Section 10(20)Section 142(1)Section 143(3)Section 2(24)Section 234A

charged as the appellant could not have foreseen the disallowances/additions made and could not have included the same in current income for payment of Advance tax. The interest charged under various sections is also wrongly worked out. 3. We have heard rival submissions and perused the materials available on record

Rajpal, Uttar Pradesh vs. ITO Ward -2(3)(1), Bulandshahr

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 392/DEL/2023[2009-10]Status: DisposedITAT Delhi27 Apr 2023AY 2009-10

Bench: Shri Kul Bharat & Shri Pradip Kumar Kedia

For Appellant: NoneFor Respondent: Shri Om Parkash, Sr.DR

Section 144Section 147Section 2(14)Section 249(4)Section 249(4)(b)

therefore the case for payment of taxes would fall under Section 249(4)(b) of the Act which obliges the assessee to pay the advance tax on the likely taxable income. If the plea of the assessee is accepted that the subject matter of land in sale

Sparrow Security Services, Jammu vs. Income Tax Officer Ward 1(1), Jammu

In the result, the appeal of the assessee bearing ITA No

ITA 40/ASR/2023[2018-19]Status: DisposedITAT Amritsar24 Apr 2023AY 2018-19

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 139(1)Section 143(1)Section 143(3)Section 250(6)Section 250oSection 36Section 43B

Interest chargeable - Assessment year 1996-97 - Whether where assessee-company deposited its cheques with authorized banker within due date for payment of advance tax but same were encashed after due date, date of presentation of those cheques should be taken as date of payment and no interest was leviable ... Haulwel Trailers Ltd. v. Dy. CIT [2006] 100 ITD 485 (Chennai), date of presentation of cheques before authorised banker for payment of advance tax should be taken as date of payment - In instant case it was found that credit to Government's account was I.T.A. No.40/Asr/2023 12 Assessment Year

Bhushan Kumar Uppal, New Delhi vs. ACIT, Central Circle-29, New Delhi

In the result, appeal of the assessee is allowed

ITA 1986/DEL/2018[2015-16]Status: DisposedITAT Delhi24 Apr 2023AY 2015-16

Bench: Shri Kul Bharat & Shri M. Balaganeshshri Manish Uppal (Legal Heir Of Vs. Acit, Bhushan Kumar Uppal), Central Circle-29, N-55, Panchsheel Park, New New Delhi Delhi-110017 (Appellant) (Respondent) Pan: Aaapu3998D

For Appellant: Sh. Salil Agarwal, Sr. AdvFor Respondent: Sh. Mahir Agarwal, Adv

Section 132Section 132(4)Section 132ASection 132BSection 143(3)Section 154Section 234B

comprising Shri Manish Uppal(legal heir of Bhushan Kumar Uppal) of TDS of Rs. 1,61,71,260/-, advance tax of Rs. 35,00,000/- and self assessment tax of Rs. 12.40.096/-. The assessee requested for adjustment of the seized cash of Rs. 1.76 crores towards self assessment tax payable ... rectification application u/s 154 of the Act wherein, the assessee made a request to treat the seized cash of Rs. 1.76 crores as advance tax payable for AY 2015- 16 and accordingly requested for recalculating the interest u/s 234B of the Act. This rectification application is enclosed at page

ACIT, Circle-3(2), Surat vs. M/S. Rajlaxmi Infra, Surat

In the result, this ground of appeal is dismissed

ITA 163/SRT/2020[2013-14]Status: DisposedITAT Surat17 Apr 2023AY 2013-14

Bench: Shri Pawan Singh & Dr Arjun Lal Sainiआ.अ.सं./Ita No.163/Srt/2020 (Ay 2013-14) (Hearing In Physical Court) Assistant Commissioner Of M/S Rajlaxmi Infra Income-Tax, Circle-3(2), Room 64, Rajlaxmi Height, Vs No.410, Aayakar Bhawan, Singanpore Cosway Road, Majura Gate, Opp. Shradhhadeep Soc, Surat-395001 Surat-395004 Pan No. Aaofr 1095 C ""थ" /Respondent अपीलाथ"/Appellant

Section 133(6)Section 143(3)Section 254(1)

does not justify the loan given by said lender. The ld CIT(A) granted relief to the assessee by holding that lender has paid advance tax of Rs.3.75 lakhs and his capacity to lend money cannot be doubted. The loan was given through banking channel. The loan was paid during

Akhil Kumar Bansal, New Delhi vs. ITO, New Delhi

In the result, the appeal of the assessee is allowed

ITA 1687/DEL/2021[2017-18]Status: DisposedITAT Delhi11 Apr 2023AY 2017-18

Bench: Sh. C. M. Gargdr. B. R. R. Kumar

For Appellant: Sh. Ankit Gupta, AdvFor Respondent: Sh. Kanv Bali, Sr. DR

Section 115BSection 143(3)Section 2Section 234ASection 271ASection 69A

Appellant could not have foreseen the additions/ disallowances made and could not have included tire same in current income for payment of Advance tax. The interest charged under various sections is also wrongly worked out. 10. That the Assessing Officer has erred in issuing the notice U/s 271AAC and initiating

J C Antiques and Crafts, Jaipur vs. DCIT Circle-7, Jaipur

In the result, appeal of the assessee is allowed

ITA 416/JPR/2022[2013-14]Status: DisposedITAT Jaipur11 Apr 2023AY 2013-14

Bench: SHRI SANDEEP GOSAIN (Judicial Member), SHRI RATHOD KAMLESH JAYANTBHAI (Accountant Member)

For Appellant: Sh. Manish Agarwal (CA)For Respondent: Smt Monisha Chaudhary (Addl. CIT)

Section 139(1)Section 142(1)Section 143(2)Section 147Section 148Section 271(1)(c)Section 44A

assessee has concealed particulars of income or furnishing inaccurate particulars of income particularly when the assessee did not claim any refund of the advance tax paid on such income……. …………….. 5. In the result, appeal of the revenue is dismissed.” Hon’ble Delhi High Court in case

Young Women'S Christian Association of Delhi, New Delhi vs. ITO (Exemption), New Delhi

In the result, the appeal of the assessee is allowed

ITA 1584/DEL/2017[2012-13]Status: DisposedITAT Delhi06 Apr 2023AY 2012-13

Bench: Shri G.S. Pannu, Hon’Ble & Ms. Astha Chandraassessment Year: 2012-13

For Appellant: Shri Saten Sethi, AdvocateFor Respondent: Shri Umesh Takiyar, Sr. DR

Section 11Section 12ASection 143(3)Section 2(15)

assessee’s case in which facts were altogether different. In Shelly Products & Another (supra) the facts were that the assessee, after having paid the advance tax filed its return for AY 1976-77. The AO framed assessment under section 143(3) r.w.s 144B of the Act. The CIT(A) partly ... Taxes were not refunded. Appeal was preferred to the Appellate Commissioner which was allowed. The AO was directed to refund to the assessee advance tax and self assessment tax also. The Tribunal, on appeal affirmed the order of the Appellate Commissioner. On reference, the High Court also affirmed the order

Girnar Software Private Limited, 6Th Floor, Jaipur Textile Market, B-2 Near Model Town, Malviya Nagar Jaipur vs. ACIT, Circle 4, Jaipur

ITA 428/JPR/2022[2016-17]Status: DisposedITAT Jaipur05 Apr 2023AY 2016-17

Bench: HON’BLE SHRI SANDEEP GOSAIN (Judicial Member)

For Appellant: Shri Yogesh Parwal, CA and Shri P.C. Parwal, C.AFor Respondent: Shri Anoop Singh (Addl.CIT)

Section 143(1)Section 143(3)Section 244A

where the refund is out of any tax paid under section 115WJ or collected at source under section 206C or paid by way of advance tax or treated as paid under section 199, during the financial year immediately preceding the assessment year, such interest shall be calculated at the rate

Siva Rama Krishna Rao Nutakki, Visakhapatnam vs. Income Tax Officer, Ward-2(1), Visakhapatnam

In the result, appeal filed by the assessee is dismissed

ITA 180/VIZ/2022[2019-20]Status: DisposedITAT Visakhapatnam31 Mar 2023AY 2019-20

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Ble

For Appellant: Sri GVN Hari, AdvocateFor Respondent: Sri ON Hari Prasada Rao

Section 143(3)Section 195Section 234BSection 234C

charging interest U/s. 234B of the Act. The Ld. CIT (A) ought to have considered the fact that for the purpose of working out Advance Tax payable, the Tax deductible has to be reduced and according to the said provision no Advance Tax need to be paid. 3. Any other ... aware of the fact that the tax has not been deducted U/s. 195 of the Act and he was required to deposit the Advance Tax by 31st March of the previous year. The assessee was aware about the delay in deposit of tax and filing of return and therefore

Kalubhai Dulabhai Golaviya, Surat vs. The Deputy Commissioner of Income Tax, Circle-2, Surat

In the result, ground raised by the assessee is allowed

ITA 619/SRT/2018[2014-15]Status: DisposedITAT Surat30 Mar 2023AY 2014-15

Bench: Shri Pawan Singh, Jm &Dr. A.L.Saini, Am आयकर अपीलसं./It(Ss)A No.15 & Ita No.619/Srt/2018 (िनधा"रणवष" / Assessment Years: (2011-12 &2014-15) (Virtual Court Hearing) Shri Kalubhai Dulabhai Golaviya Deputy Commissioner Of Income-Tax, B/1-2, Jalaram Society, B/H. Central Circle-2, Aaykar Bhavan, Vs. Gurunagar Society, Varachha Majura Gate, Surat-395001 Road, Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Ablpp 5116 A (अपीलाथ" /Appellant) (""थ" /Respondent)

For Appellant: Shri Ashwin K Parekh, C.AFor Respondent: Shri Ashok B.Koli, CIT-DR &

Section 132Section 143(2)Section 143(3)Section 153ASection 45(3)Section 54F

himself accepted the books of accounts wherein the land stood classified as "investment" as on 01.04.2010 much prior to payment of advance tax in December, 2010. k. The Mumbai ITAT has in the case of Rajesh Builders for A.Y. 2004 05 upheld the gain on sale of land as taxable

M/S. Mega Aims, Bharuch vs. Deputy Commissioner of Income Tax, Bharuch Circle, Bharuch

In the result, appeal filed by the assessee is allowed

ITA 25/SRT/2017[2011-12]Status: DisposedITAT Surat30 Mar 2023AY 2011-12

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.25/Srt/2017 Assessment Year: (2011-12) (Virtual Court Hearing) M/S. Mega Aims, Vs. The Dcit, Bharuch Circle, B-1, Gokuldham Complex, Dahej Bharuch. Bypass Road, Bharuch – 392001. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaqfm1615F (Assessee) (Respondent) Assessee By Shri P. M. Jagasheth, Ca Respondent By Shri Vinod Kumar, Sr. Dr Date Of Hearing 31/01/2023 30/03/2023 Date Of Pronouncement

Section 133ASection 143(3)

income for the current Financial Year. This may be considered as Rs.70,00,000/-" 6. Further in reply to Q. No.9, in regards, to advance tax payment, it was stated by assessee, as follows: “At present we have undertaken two schemes Manoratham and Mahamangalya Residency. In case of scheme ... scheme of Mahamangalaya Residency we expect to complete 64 flats on which estimated profit would be 1.28 crore. We will make payment of Advance tax on the dates falling due. I further state as under: (1) Disclosed Income- Rs.0.70 lacs. (2) Estimated Profit for the current F.Y Rs.2.55 crore Total

The Income Tax Officer, Ward-3(2), Visakhapatnam vs. Sri Mutchuakarla Appa Rao, Visakhapatnam

In the result, appeal of the Revenue is partly allowed

ITA 668/VIZ/2019[2011-2012]Status: DisposedITAT Visakhapatnam17 Mar 2023AY 2011-2012

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपील सं./ I.T.A. No.668/Viz/2019 ("नधा"रण वष" / Assessment Year : 2011-12) Income Tax Officer, Vs. Sri Mutchuakarla Appa Rao, Ward-3(2), Visakhapatnam. Visakhapatnam. Pan: Ahvpm 9813 F (अपीलाथ"/ Appellant) (""यथ"/ Respondent) C.O. No.22/Viz/2021 (In आयकर अपील सं./ I.T.A. No.668/Viz/2019) ("नधा"रण वष" / Assessment Year : 2011-12) Sri Mutchuakarla Appa Rao, Vs. Income Tax Officer, Visakhapatnam. Ward-3(2), Pan: Ahvpm 9813 F Visakhapatnam. (अपीलाथ"/ Appellant) (""यथ"/ Respondent) अपीलाथ" क" ओर से/ Assessee By : Sri C. Subrahmanyam, Ca ""याथ" क" ओर से / Revenue By : Sri On Hari Prasad Rao, Sr. Ar सुनवाई क" तार"ख / Date Of Hearing : 20/02/2023 घोषणा क" तार"ख/Date Of : 17/03/2023 Pronouncement O R D E R

For Appellant: Sri C. Subrahmanyam, CAFor Respondent: Sri ON Hari Prasad Rao

Section 131Section 133ASection 142(1)Section 143(2)Section 143(3)Section 250A

submitted that the assessee could not explain the sources for the cash and has voluntarily admitted to pay the amount as advance tax in his hands and in the hands of his wife and has paid the taxes accordingly. The Ld. DR further submitted that the assessee has recorded

Dasari Bujji, Visakhapatnam vs. Income Tax Officer, Ward-1(1), Visakhapatnam

In the result, appeal of the assessee is dismissed

ITA 20/VIZ/2023[2019-20]Status: DisposedITAT Visakhapatnam14 Mar 2023AY 2019-20

Bench: Shri Duvvuru Rl Reddy, Hon’Bleआयकर अपील सं./I.T.A.No.20/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2019-20) Dasari Bujji Vs. Income Tax Officer D.No.40-54-5/31 Ward-1(1) Sanjeevayya Colony, Visakhapatnam Near Bethadha Church, Tatichetlapalem, Visakhapatnam [Pan : Bklpd8566J]

For Appellant: Shri GVN Hari, ARFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 139(1)Section 143(1)Section 143(1)(a)Section 36Section 36(1)(va)Section 43B

tax, interest and fee, if any, computed under clause (b) by any tax deducted at source, any tax collected at source, any advance tax paid, any relief allowable under section 89, any relief allowable under an agreement under section 90 or section 90A, or any relief allowable under section

T Srinivasa Rao&Co, Visakhapatnam vs. Income Tax Officer, Ward-1(1), Visakhapatnam

In the result, appeals of the assessee are dismissed

ITA 184/VIZ/2022[2019-20]Status: DisposedITAT Visakhapatnam08 Mar 2023AY 2019-20

Bench: Shri Duvvuru Rl Reddy, Hon’Bleआयकर अपील सं./I.T.A.No.175/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2018-19) Eastern Warehouse Corporation Vs. Income Tax Officer Visakhapatnam Ward-1(1) [Pan : Aaafe3741J] Visakhapatnam आयकर अपील सं./I.T.A.No.179/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2018-19) Sri Ranga Motors Vs Income Tax Officer Vizianagaram Ward-1 [Pan : Aabbfs8249P] Vizianagaram आयकर अपील सं./I.T.A.No.174/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2019-20) Tetali Anil Kumar Vs. Income Tax Officer Visakhapatnam Ward-3(3) [Pan : Aaqpt9453L] Visakhapatnam आयकर अपील सं./I.T.A.No.184/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2019-20) T.Srinivasa Rao & Co. Vs. Income Tax Officer Visakhapatnam Ward-1(1) [Pan : Aamft1310Q] Visakhapatnam

For Appellant: Shri GVN Hari, ARFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 139(1)Section 143(1)Section 36Section 36(1)(va)Section 43B

Sri Ranga Motors, Vizianagaram vs. Income Tax Office, Ward-1, Vizianagaram

In the result, appeals of the assessee are dismissed

ITA 179/VIZ/2022[2018-19]Status: DisposedITAT Visakhapatnam08 Mar 2023AY 2018-19

For Appellant: Shri GVN Hari, ARFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 139(1)Section 143(1)Section 36Section 36(1)(va)Section 43B

Eastern Warehouse Corporation, Visakhapatnam vs. Income Tax Officer, Ward-1(1), Visakhapatnam

In the result, appeals of the assessee are dismissed

ITA 175/VIZ/2022[2018-19]Status: DisposedITAT Visakhapatnam08 Mar 2023AY 2018-19

For Appellant: Shri GVN Hari, ARFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 139(1)Section 143(1)Section 36Section 36(1)(va)Section 43B

Tetali Anil Kumar, Visakhapatnam vs. Income Tax Officer, Ward -3(3), Visakhapatnam

In the result, appeals of the assessee are dismissed

ITA 174/VIZ/2022[2019-20]Status: DisposedITAT Visakhapatnam08 Mar 2023AY 2019-20

For Appellant: Shri GVN Hari, ARFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 139(1)Section 143(1)Section 36Section 36(1)(va)Section 43B

Deputy Commisioner of Income Tax, Rajahmahendravaram vs. Andhra Paper Limited, Rajahmahendravaram

In the result, appeal of the Revenue is partly allowed for statistical

ITA 189/VIZ/2022[2013-14]Status: DisposedITAT Visakhapatnam28 Feb 2023AY 2013-14

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकरअपीलसं./ I.T.A. Nos. 162/Viz/2022 & 189/Viz/2022 ("नधा"रणवष"/ Assessment Years : 2012-13 & 2013-14) Deputy Commissioner Of Income Vs. M/S. Andhra Paper Limited Tax, Circle-1, (M/S. International Paper Rajamahendravaram. Appm Ltd), Sri Ram Nagar, Rajamahendravaram. Pan: Aact 8849 D (अपीलाथ"/ Appellant) (""यथ"/ Respondent) Co Nos: 22 & 23/Viz/2022 (In आयकरअपीलसं./ I.T.A. Nos. 162/Viz/2022 & 189/Viz/2022) ("नधा"रणवष"/ Assessment Years : 2012-13 & 2013-14) M/S. Andhra Paper Limited Vs. Deputy Commissioner Of (M/S. International Paper Appm Income Tax, Circle-1, Ltd), Rajamahendravaram. Sri Ram Nagar, Rajamahendravaram. Pan: Aact 8849 D (अपीलाथ"/ Appellant) (""यथ"/ Respondent) अपीलाथ"क"ओरसे/ Assessee By : Sri K. Chakrapani ""याथ"क"ओरसे/ Revenue By : Sri Mn Murthy Naik, Cit-Dr

For Appellant: Sri K. ChakrapaniFor Respondent: Sri MN Murthy Naik, CIT-DR

Section 142(1)Section 143(2)Section 143(3)Section 14ASection 35D

21/11/2013 declaring NIL income. Subsequently, the case has been taken up for scrutiny under CASS with a reason to examine “Large Refund claim of Advance Tax and High Ratio of Refund to TDS”. Notice U/s. 143(2) of the Act was issued and served on the assessee. Notice