2026 (2) TMI 253

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....r ('A.Y.' for short) 2024-25. 2. The assessee has raised the following grounds of appeal: "1. Ground No. 1 - Erroneous levy of interest of INR 12,380,937/- under section 234C of the Act 1.1. On the facts and circumstances of the case and in law, Hon'ble CIT(A)/Centralized Processing Centre ('CPC') erred in levying interest under section 234C of the Act as the Appellant had paid the advance tax for the third quarter on a timely basis and funds have been debited from the bank account on 15 December 2023. 1.2. On the facts and circumstances of the case and in law, Hon'ble CIT(A)/CPC erred in levying interest under section 234C of the Act due to a technical issue at the bank/income tax department, w....

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....der the Companies Act, 2013 engaged in the operation of a fantasy gaming platform. In respect of the A.Y. 2024-25 the assessee filed return of income declaring total income at Rs. 1782,63,75,730/- claiming a refund of Rs. 48,24,43,990/-. The return was processed u/s 143(1) of the Act by the CPC and vide intimation dated 28.01.2025, interest u/s 234C of the Act amounting to Rs. 1,23,80,937/- on account of delay in payment of advance tax for the third quarter of the A.Y. 2024-25 was levied. 4. Aggrieved, the assessee filed an appeal before the Ld. CIT(A) challenging the intimation order dated 28.01.2025 passed u/s 143(1) of the Act. The Ld. CIT(A) upheld the interest levied by the CPC on the ground that the assessee has paid the third inst....

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.... payment of tax and not the date when was encashed. The Ld. AR concluded the arguments by stating that the assessee was placed in a better footing where the mode of payment was through net banking in which case the amount was debited from the assessee's account on 15.12.2023 which was the last due date for making payment of advance tax. 7. The Learned Departmental Representative ("Ld. DR" for short), on the other hand, controverted the said fact and stated that the challan tender date was on 16.12.2023 which was after the prescribed due date and stated that the CPC has rightly levied interest u/s 234C of the Act. The Ld. DR supported the order of the Ld. CIT(A) stating that there is no error in the finding of the first appellate authorit....

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.... the Ld. AR where the Hon'ble Jurisdictional High Court in the case of Income Tax Commissioner-LTU Vs. Asian Paints Ltd. (2011) 12 taxmann.com 484 (Bombay) has held that for making payment of tax the date of presenting of the cheque should be the date of payment and not the date on which the amount of tax was credited to the account of the Central Government which was subsequent to the presentment of the cheque for payment. The Hon'ble Jurisdictional High Court had in this decision distinguished the decision of Hon'ble Rajasthan High Court in the case of Rajasthan Sate Electricity Board Vs. CIT (2006) 281 ITR 274 and the decision of the Hon'ble Delhi High Court in the case of CIT Vs. Sutlej Industries Ltd. (2010) 325 ITR 331/190 Taxman 136 ....