Section 36(1)(va) of the Income Tax Act

Income-tax Act, 2025: ss.29, 30, 31, 32

Section 36(1)(va) falls under section 36 of the Income-tax Act, 1961, which corresponds to section 29 (Deductions related to employee welfare), section 30 (Deduction on certain premium), section 31 (Deduction for bad debt and provision for bad and doubtful debt) and section 32 (Other deductions) of the Income-tax Act, 2025.

Read section 29 of the 2025 ActRead section 30 of the 2025 ActRead section 31 of the 2025 ActRead section 32 of the 2025 Act

Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.

The decision most relied on for Section 36(1)(va) is CIT v. AIMIL Ltd. (321 ITR 508), cited in 1,629 of the 6,054 judgments on BharatTax that turn on this section.

Leading authorities on Section 36(1)(va)

CIT v. AIMIL Ltd.
321 ITR 508 · 2010 · High Court
1,629
citing judgments

Employee contributions to PF and ESIC, deposited beyond the due date under the respective Acts but within the due date for filing the income tax return under Section 139(1), are allowable deductions under Section 36(1)(va). Such disallowance cannot be made during processing under Section 143(1).

Checkmate Services Pvt. Ltd. v. CIT
143 Taxmann.com 178 · 2022 · Supreme Court
1,392
citing judgments

Employee contributions to provident fund and ESI deposited by an employer beyond the due dates prescribed under the respective special Acts are not allowable as a deduction under section 36(1)(va) of the Income-tax Act, 1961. Such disallowance can be made during processing under section 143(1).

CIT v. Alom Extrusions Ltd.
319 ITR 306 · 2009 · Supreme Court
1,344
citing judgments

A proviso inserted into a section to remedy unintended consequences, make the section workable, or supply an obvious omission must be read retrospectively in operation to give effect to the section as a whole.

CIT v. Gujarat State Road Transport Corporation
366 ITR 170 · 2014 · High Court
1,158
citing judgments

Employees' contributions to welfare funds, such as provident fund, are not allowable as a deduction under section 36(1)(va) if deposited beyond the due date prescribed under the respective welfare statutes, even by a single day. Such delayed deposits are not cured even if made before the income-tax return filing due date.

279 ITR 331/149 Taxman 15 (Guj.); 5. CIT v. Sabari Enterprises
298 ITR 141 · 2008 · High Court
706
citing judgments

Employee contributions to provident fund or ESI, even if deposited after the due date specified in the respective welfare statutes, are allowable as a deduction under Section 36(1)(va) if paid before the due date for filing the income-tax return. This judgment aligns the treatment of employee contributions with employer contributions under Section 43B.

CIT v. Ghatge Patil Transports Ltd.
368 ITR 749 · 2014 · High Court
609
citing judgments

Deduction for employees' contributions to PF and ESIC is allowable under Section 43B if paid before the due date for filing the return under Section 139(1); similarly, delayed deposits of employers' contributions to ESIC and PF are also allowable.

CIT v. State Bank of Bikaner & Jaipur
43 Taxmann.com 411 · 2014 · High Court
524
citing judgments

Employee contributions to provident fund, ESI, and other welfare funds, if deposited by the due date for furnishing the return of income under Section 139(1), are allowable as a deduction and cannot be disallowed under Section 36(1)(va) read with Section 2(24)(x) or Section 43B, even if deposited after the due date prescribed by the respective welfare Acts.

Essae Teraoka Pvt. Ltd. v. DCIT
366 ITR 408 · 2014 · High Court
519
citing judgments

An employer's delayed remittance of employees' contributions to provident fund (PF) or Employees' State Insurance (ESI) is deductible if the payment is made before the due date for filing the income tax return under section 139(1), applying the provisions of section 43B and notwithstanding section 36(1)(va).

CIT v. Bharat Hotels Ltd.
410 ITR 417 · 2019 · High Court
486
citing judgments

Employee contributions to provident fund and ESI, if paid beyond the due date prescribed by the respective welfare fund statutes, are not allowed as a deduction under the Income Tax Act.

CIT v. Nipso Polyfabriks Ltd.
350 ITR 327 · 2013 · High Court
425
citing judgments

Deduction for employee contributions to EPF/ESI is allowable under section 43B if paid before the due date for filing the return of income under section 139(1), irrespective of the due dates under the respective welfare fund statutes.

Judgments on Section 36(1)(va)

Itesh Brdoloi, Bongaigaon vs. Assistant Commissioner of Income Tax, Circle-2, Guwahati

In the result, the appeal of the assessee stands dismissed

ITA 29/GTY/2022[2019-20]Status: DisposedITAT Guwahati06 Jun 2023AY 2019-20

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. No.29/Gau/2022 Assessment Year: 2019-20 Itesh Bordoloi………...…………....…………....….........…..........….…… Appellant C/O Chirang Hardware, Chapaguri Part Ii, Chapaguri, Assam-783380. [Pan: Achpb1157E] Vs. Acit, Circle-2, Guwahati……………………………..…...…..…..…..... Respondent Appearances By: None Appeared On Behalf Of The Appellant. Shri N. T. Sherpa, Jcit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : June 06, 2023 Date Of Pronouncing The Order : June 06, 2023 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 20.07.2022 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Sole Issue Involved In This Appeals Is Relating To The Disallowance Made By The Assessing Officer/Central Processing Centre (Cpc) U/S 36(1)(Va) R.W.S. 2(24)(X) Of The Act On Account Of Delayed Deposit Of Employees’ Contribution To Pf/Esi I.E. After The Due Date As Provided Under The Respective Welfare Enactments.

Section 2(24)(x)Section 250Section 36(1)(va)Section 43B

Panchwati Holiday Resorts Limited, Kolkata vs. DCIT/ACIT Circle- 3, Guwahati

In the result, the appeal of the assessee stands dismissed

ITA 24/GTY/2022[2020-21]Status: DisposedITAT Guwahati06 Jun 2023AY 2020-21

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. No.24/Gau/2022 Assessment Year: 2020-21 Panchwati Holiday Resorts Ltd...…………....….........…..........….…… Appellant 3A, Auckland Place, 9Th Floor, Room No.9B, Kolkata-700017. [Pan: Aabcp8600R] Vs. Dcit/Acit, Circle-3, Guwahati….………………..…...…..…..…..... Respondent Appearances By: Shri Ravi Shankar Sahay, Ar, Appeared On Behalf Of The Appellant. Shri N. T. Sherpa, Jcit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : June 06, 2023 Date Of Pronouncing The Order : June 06, 2023 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 31.05.2022 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Sole Issue Involved In This Appeals Is Relating To The Disallowance Made By The Assessing Officer/Central Processing Centre (Cpc) U/S 36(1)(Va) R.W.S. 2(24)(X) Of The Act On Account Of Delayed Deposit Of Employees’ Contribution To Pf/Esi I.E. After The Due Date As Provided Under The Respective Welfare Enactments.

Section 2(24)(x)Section 250Section 36(1)(va)Section 43B

Datamation Services, Guwahati vs. Deputy Commissioner of Income Tax, Circle-1, Guwahati

In the result, the appeal of the assessee stands dismissed

ITA 19/GTY/2022[2019-20]Status: DisposedITAT Guwahati06 Jun 2023AY 2019-20

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. No.19/Gau/2022 Assessment Year: 2019-20 Datamation Services...…………....…………....….........…..........….…… Appellant First Floor, Seventh Heaven Complex, G S Road, Ulubari, Guwahati, Kamrup, Assam-781007. [Pan: Aaefd2397K] Vs. Acit, Circle-1, Guwahati……………………………..…...…..…..…..... Respondent Appearances By: None Appeared On Behalf Of The Appellant. Shri N. T. Sherpa, Jcit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : June 06, 2023 Date Of Pronouncing The Order : June 06, 2023 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 01.04.2022 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Sole Issue Involved In This Appeals Is Relating To The Disallowance Made By The Assessing Officer/Central Processing Centre (Cpc) U/S 36(1)(Va) R.W.S. 2(24)(X) Of The Act On Account Of Delayed Deposit Of Employees’ Contribution To Pf/Esi I.E. After The Due Date As Provided Under The Respective Welfare Enactments.

Section 2(24)(x)Section 250Section 36(1)(va)Section 43B

Nine Star Commodities Pvt. Ltd., Jodhpur vs. A.O, Ward-6(1), Kolkata

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

ITA 263/KOL/2023[2019-20]Status: DisposedITAT Kolkata05 Jun 2023AY 2019-20

Bench: Dr. Manish Borad, Hon’Blei.T.A. No. 263/Kol/2023 Assessment Year: 2019-20 Nine Star Commodities Private Assessing Officer, Ward-6(1), Limited Vs Kolkata 112, Parvati Shiv Kripa Tower 1St A-Road Sardarpura, Jodhpur Rajasthan - 342003 [Pan : Aadcn4180G] अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee By : Shri Subhas Agarwal, A/R Revenue By : Shri Abhijit Datta, Sr. D/R सुनवाई क" तारीख/Date Of Hearing : 01/06/2023 घोषणा क" तारीख /Date Of Pronouncement: 05/06/2023 आदेश/O R D E R Per Dr. Manish Borad: This Is The Appeal Preferred By The Assessee Against The Order Of The National Faceless Appeal Centre (Nfac), Delhi (Hereinafter Referred To As The Ld. Cit(A)”], Passed U/S 250 Of The Income-Tax Act, 1961 (Hereinafter The ‘Act’), Dated 31/01/2023 For The Assessment Year 2019-20. 2. The Sole Grievance Of The Assessee Is That The Ld. Cit(A) Erred In Confirming The Disallowance Made U/S 43B Of The Act At Rs.3,91,525/- & Disallowance Of Employees’ Contribution To Pf & Esi At Rs.6,037/- 3. We Have Heard Rival Contentions & Perused The Material Placed Before Us. So Far As The Disallowance Of Pf & Esi Of Rs.6,037/- Is Concerned Raised In Ground No. 3 Of This Appeal, It Is An Admitted Fact That The Alleged Sum Was Paid After The Due Date Prescribed Under

For Appellant: Shri Subhas Agarwal, A/RFor Respondent: Shri Abhijit Datta, Sr. D/R
Section 139(1)Section 2(24)(x)Section 250Section 36(1)(va)Section 43B

M/S Jai Ambe Agricultural Industries, Varanasi vs. D.C.I.T., Circle - 2(1), Varanasi

In the result, the appeal filed by the assessee stands dismissed

ITA 19/VNS/2023[2019-2020]Status: DisposedITAT Varanasi05 Jun 2023AY 2019-2020

Bench: Shri Ramit Kochar & Shri Pavan Kumar Gadaleassessment Year: 2019-2020 M/S Jai Ambe Agricultural The Dcit, Industries, Plot No. 211, V. Circle-2(1), Aayakar Bhawan, M A Marg, Churamanpur, Varanasi- Varanasi-221002,U.P. 221108,U.P. ( The Adi, Cpc, Bengaluru) Pan:Aahfj9428N (Appellant) (Respondent)

For Appellant: Sh. R.K.N. Jaiswal, AdvocateFor Respondent: Sh. A.K. Singh, Sr. DR
Section 14Section 143(1)Section 2(24)Section 2(24)(x)Section 28Section 36(1)Section 36(1)(va)Section 40(1)Section 40(2)Section 56

Hemendra Nath Deka, Guwahati vs. Assistant Commissioner of Income Tax, CPC, Bengaluru

In the result, both the captioned appeals of the assessee stand dismissed

ITA 6/GTY/2022[2019-20]Status: DisposedITAT Guwahati05 Jun 2023AY 2019-20

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. Nos.5&6/Gau/2022 Assessment Years: 2018-19 & 2019-20 Hemendra Nath Deka…………....…………....….........…..........….…… Appellant House No.6, Dolphin Security & Advertising, Kamakhya Temple Road, Kamakhya Gate, Guwahati-781009, Kamrup, Assam. [Pan: Ajupd3564F] Vs. Acit, Cpc, Bengaluru (Ito, Ward-1(2), Guwahati)…...…..…..…..... Respondent Appearances By: None Appeared On Behalf Of The Appellant. Shri N. T. Sherpa, Jcit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : June 05, 2023 Date Of Pronouncing The Order : June 05, 2023 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Captioned Appeals Have Been Preferred By The Assessee Against The Separate Orders Both Dated 09.12.2021 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Sole & Common Issue Involved In Both The Appeals Is Relating To The Disallowance Made By The Assessing Officer/Central Processing Centre (Cpc) U/S 36(1)(Va) R.W.S. 2(24)(X) Of The Act On Account Of Delayed Deposit Of Employees’ Contribution To Pf/Esi I.E. After The Due Date As Provided Under The Respective Welfare Enactments.

Section 143(1)Section 143(1)(a)Section 250Section 36(1)(va)Section 43B

Hemendra Nath Deka, Guwahati vs. Assistant Commissioner of Income Tax, CPC, Bengaluru

In the result, both the captioned appeals of the assessee stand dismissed

ITA 5/GTY/2022[2018-19]Status: DisposedITAT Guwahati05 Jun 2023AY 2018-19

Bench: Shri Sanjay Garg & Shri Girish Agrawali.T.A. Nos.5&6/Gau/2022 Assessment Years: 2018-19 & 2019-20 Hemendra Nath Deka…………....…………....….........…..........….…… Appellant House No.6, Dolphin Security & Advertising, Kamakhya Temple Road, Kamakhya Gate, Guwahati-781009, Kamrup, Assam. [Pan: Ajupd3564F] Vs. Acit, Cpc, Bengaluru (Ito, Ward-1(2), Guwahati)…...…..…..…..... Respondent Appearances By: None Appeared On Behalf Of The Appellant. Shri N. T. Sherpa, Jcit-Dr, Appeared On Behalf Of The Respondent. Date Of Concluding The Hearing : June 05, 2023 Date Of Pronouncing The Order : June 05, 2023 आदेश / Order संजय गग", "या"यक सद"य "वारा / Per Sanjay Garg: The Captioned Appeals Have Been Preferred By The Assessee Against The Separate Orders Both Dated 09.12.2021 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Sole & Common Issue Involved In Both The Appeals Is Relating To The Disallowance Made By The Assessing Officer/Central Processing Centre (Cpc) U/S 36(1)(Va) R.W.S. 2(24)(X) Of The Act On Account Of Delayed Deposit Of Employees’ Contribution To Pf/Esi I.E. After The Due Date As Provided Under The Respective Welfare Enactments.

Section 143(1)Section 143(1)(a)Section 250Section 36(1)(va)Section 43B

K A Hospitality Private Limited, Mumbai vs. Icome Tax Department -CPC-Bagalore, Bangalore

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

ITA 1325/MUM/2022[2019-20]Status: DisposedITAT Mumbai02 Jun 2023AY 2019-20

Bench: Shri B.R.Baskaran & Shri Vikas Awasthym.A No.159/Mum/2023 [ Arising Out Of Ita No.1325/Mum/2022 (A.Y.2019-20)]

For Appellant: Shri A.N.ShahFor Respondent: Shri Soumendu Kumar Dash
Section 143(1)Section 143(1)(a)Section 143(3)Section 36(1)(va)

Laxman Nainani, Kota vs. ACIT/DCIT, Central Circle, Jaipur

In the result, all the three appeals of the assessee in ITA No

ITA 21/JPR/2023[2019-20]Status: DisposedITAT Jaipur02 Jun 2023AY 2019-20

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

For Appellant: Shri Devang Gargieya, CAFor Respondent: Smt. Manisha Choudhary, Addl.CIT
Section 139Section 143(1)Section 143(1)(a)Section 234ASection 36(1)(va)Section 37(1)Section 43B

M/S. Nandi Hospitality Services Private Limited, Bengaluru vs. Deputy Commissioner of Income-Tax, Circle-3(1)(1), Bangalore

In the result, all the three appeals filed by the assessee are dismissed

ITA 296/BANG/2023[2020-21]Status: DisposedITAT Bangalore01 Jun 2023AY 2020-21

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Sandeep Chalapathy, A.RFor Respondent: Shri Sankar Ganesh K., D.R
Section 139(1)Section 143(1)(a)Section 250Section 36(1)(va)Section 43BSection 44A

M/S. Nandi Hospitality Services Private Limited, Bengaluru vs. Deputy Commissioner of Income-Tax, Circle-3(1)(1), Bangalore

In the result, all the three appeals filed by the assessee are dismissed

ITA 295/BANG/2023[2019-20]Status: DisposedITAT Bangalore01 Jun 2023AY 2019-20

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Sandeep Chalapathy, A.RFor Respondent: Shri Sankar Ganesh K., D.R
Section 139(1)Section 143(1)(a)Section 250Section 36(1)(va)Section 43BSection 44A

M/S. Nandi Hospitality Services Private Limited, Bengaluru vs. Deputy Commissioner of Income-Tax, Circle-3(1)(1), Bangalore

In the result, all the three appeals filed by the assessee are dismissed

ITA 294/BANG/2023[2018-19]Status: DisposedITAT Bangalore01 Jun 2023AY 2018-19

Bench: Shri Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Sandeep Chalapathy, A.RFor Respondent: Shri Sankar Ganesh K., D.R
Section 139(1)Section 143(1)(a)Section 250Section 36(1)(va)Section 43BSection 44A

Kotak Mahindra Bank Limited, Mumbai vs. DCIT, CPC, Bangaluru

In the result, appeals filed by the assessee for A

ITA 496/MUM/2023[2019-20]Status: DisposedITAT Mumbai01 Jun 2023AY 2019-20

Bench: Shri B.R. Baskaran (Am) & Shri Sandeep Singh Karhail (Jm)

Section 115PSection 143(1)Section 2(24)(x)Section 244ASection 36(1)(va)

Kotak Mahindra Bank Limited, Mumbai vs. DCIT, CPC, Bangaluru

In the result, appeals filed by the assessee for A

ITA 495/MUM/2023[2018-19]Status: DisposedITAT Mumbai01 Jun 2023AY 2018-19

Bench: Shri B.R. Baskaran (Am) & Shri Sandeep Singh Karhail (Jm)

Section 115PSection 143(1)Section 2(24)(x)Section 244ASection 36(1)(va)

Kotak Mahindra Bank Limited, Mumbai vs. DCIT, CPC, Bangaluru

In the result, appeals filed by the assessee for A

ITA 494/MUM/2023[2020-21]Status: DisposedITAT Mumbai01 Jun 2023AY 2020-21

Bench: Shri B.R. Baskaran (Am) & Shri Sandeep Singh Karhail (Jm)

Section 115PSection 143(1)Section 2(24)(x)Section 244ASection 36(1)(va)

Dilip Construction Company, Balod vs. Deputy Commissioner of Income Tax-1(1), Bhilai, Durg

In the result, appeal of the assessee is partly allowed for statistical purposes in terms of my aforesaid observations

ITA 78/RPR/2023[2014-15]Status: DisposedITAT Raipur01 Jun 2023AY 2014-15

Bench: Shri Ravish Soodआयकर अपील सं./ Ita No.78/Rpr/2023 "नधा"रण वष" / Assessment Year : 2014-15 Dilip Construction Company Main Road, New Market, Dalli Rajhara, Balod (C.G.)-491 228 Pan : Aadfd9426A .......अपीलाथ" / Appellant बनाम / V/S. The Deputy Commissioner Of Income Tax-1(1), Bhilai (C.G.). ……""यथ" / Respondent

For Appellant: Shri Vikram Chhabda, CAFor Respondent: Shri Piyush Tripathi, Sr. DR
Section 143(2)Section 143(3)Section 250Section 36(1)Section 36(1)(va)

The Braithwaite Burn and Jessop Construction Company Limited, Kolkata vs. ACIT, Circle-1(2), Kolkata

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

ITA 249/KOL/2023[2017-18]Status: DisposedITAT Kolkata31 May 2023AY 2017-18

Bench: Shri Rajpal Yadav & Shri Girish Agrawalassessment Year: 2017-18

For Appellant: Shri Swaraj Kumar, FCAFor Respondent: Shri Manas Mondal, Addl. CIT, Sr. DR
Section 139(1)Section 143(3)Section 37Section 43B

T & I Global Limited, Kolkata vs. DCIT, Circle-4(1), Kolkata

In the result, the appeal of the assessee is dismissed

ITA 471/KOL/2022[2018-2019]Status: DisposedITAT Kolkata31 May 2023AY 2018-2019

Bench: Shri Rajesh Kumar & Shri Sonjoy Sarma]

Section 2Section 2(24)Section 2(24)(x)Section 3Section 36Section 36(1)Section 36(1)(iv)Section 36(1)(va)Section 43B

Pradman Engineering Services P Ltd., Mumbai vs. CIT (A), NFAC, Delhi, Mumbai

The appeals are dismissed

ITA 91/MUM/2023[2019-20]Status: DisposedITAT Mumbai31 May 2023AY 2019-20
For Appellant: Shri Bhadresh DoshiFor Respondent: Ms. Naina K. Kumar
Section 139(1)Section 143(1)Section 143(1)(a)Section 2(24)(x)Section 254Section 36(1)(va)Section 43B

Svatantra Microfin Private Limited, Mumbai vs. Centralised Processing Centre, Bangalore

ITA 872/MUM/2023[2018-2019]Status: DisposedITAT Mumbai31 May 2023AY 2018-2019

Bench: Shri Prashant Maharishi & Shri Kuldip Singhassessment Year: 2018-19

For Appellant: Shri Rahul Sarda, A.RFor Respondent: Smt. Sonia Kumar, D.R
Section 143(1)Section 36(1)(va)