https://www.taxtmi.com/caselaws?id=465298 ITAT held that employees' contributions to EPF and ESI are allowable as deduction if deposited before the due date for filing the return u/s 139(1) of the IT Act, even if paid after the due dates prescribed under the respective welfare statutes. Noting conflicting non-jurisdictional HC views and absence of a binding jurisdictional HC ruling, ITAT applied the SC principle that where two reasonable interpretations exist, the one favourable to the assessee must prevail. Following the Karnataka HC in Essae Teraoka (P) Ltd., the disallowance was deleted and the assessee's appeals were allowed. en-us Thu, 28 Dec 2017 00:00:00 +0530 Mon, 15 Dec 2025 19:06:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=465298 ITAT held that employees' contributions to EPF and ESI are allowable as deduction if deposited before the due date for filing the return u/s 139(1) of the IT Act, even if paid after the due dates prescribed under the respective welfare statutes. Noting conflicting non-jurisdictional HC views and absence of a binding jurisdictional HC ruling, ITAT applied the SC principle that where two reasonable interpretations exist, the one favourable to the assessee must prevail. Following the Karnataka HC in Essae Teraoka (P) Ltd., the disallowance was deleted and the assessee's appeals were allowed. Case-Laws Income Tax Thu, 28 Dec 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=465298