2018 (9) TMI 2009 - HC - Income Tax

Belated payment of Employee's Provident Fund (EPD) and Employee's State Insurance Scheme (ESI) - HELD THAT - In view of the judgement of the Division Bench of Delhi High Court in Commissioner of Income-Tax versus Aimil Limited, 2009 (12) TMI 38 - DELHI HIGH COURT the issue is covered against the Revenue and, therefore, no substantial question of law arises for consideration in this appeal. The legislative intent was/is to ensure that the amount paid is allowed as an expenditure only when payment is actually made. We do not think that the legislative intent and objective is to treat belated payment of Employee's Provident Fund (EPD) and Employee's State Insurance Scheme (ESI) as deemed income of the employer under Section 2(24)(x) of the Act. Appeal is dismissed.

Summary

The Delhi High Court dismissed the appeal, stating that the issue is covered against the Revenue based on a previous judgement. The court emphasized that legislative intent does not consider belated payments of EPF and ESI as deemed income of the employer under Section 2(24)(x) of the Act.