Income Tax Act, 2025
Section 9: Subs. by s. 29, ibid., for “the said sub-section” (w.e.f. 11978).
9. Subs. by s. 29, ibid., for “the said sub-section” (w.e.f. 11978).
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(2) The provisions of sub-sections (2), (3) and (4) of section 215 shall apply to interest payable under
this section as they apply to interest payable under that section.
1[218. When assessee deemed to be in default.—If any assessee does not pay on the date specified
in sub-section (1) of section 211, any instalment of the advance tax that he is required to pay by an order
of the Assessing Officer under sub-section (3) or sub-section (4) of section 210 and does not, on or before
the date on which any such instalment as is not paid becomes due, send to the Assessing Officer an
intimation under sub-section (5) of section 210 or does not pay on the basis of his estimate of his current
income the advance tax payable by him under sub-section (6) of section 210, he shall be deemed to be an
assessee in default in respect of such instalment or instalments.]
219. Credit for advance tax.—Any sum, other than a penalty or interest, paid by or recovered from
an assessee as advance tax in pursuance of this Chapter shall be treated as a payment of tax in respect of
the income of the period which would be the previous year for an assessment for the assessment year next
following the financial year in which it was payable, and credit therefor shall be given to the assessee in
the regular assessment.
2* * * * *
D.—Collection and recovery
220. When tax payable and when assessee deemed in default.—(1) Any amount, otherwise than by
way of advance tax, specified as payable in a notice of demand under section 156 shall be paid within
3[thirty days] of the service of the notice at the place and to the person mentioned in the notice :
Provided that, where the 4[Assessing Officer] has any reason to believe that it will be detrimental to
revenue if the full period of 3[thirty days] aforesaid is allowed, he may, with the previous approval of the
5[Joint Commissioner], direct that the sum specified in the notice of demand shall be paid within such
period being a period less than the period of 3[thirty days] aforesaid, as may be specified by him in the
notice of demand.
6[(1A) Where any notice of demand has been served upon an assessee and any appeal or other
proceeding, as the case may be, is filed or initiated in respect of the amount specified in the said notice of
demand, then, such demand shall be deemed to be valid till the disposal of the appeal by the last appellate
authority or disposal of the proceedings, as the case may be, and any such notice of demand shall have the
effect as specified in section 3 of the Taxation Laws (Continuation and Validation of Recovery
Proceedings) Act, 1964 (11 of 1964).]
(2) If the amount specified in any notice of demand under section 156 is not paid within the period
limited under sub-section (1), the assessee shall be liable to pay simple interest at 7[8[one per cent.] for
every month or part of a month comprised in the period commencing from the day immediately following
the end of the period mentioned in sub-section (1) and ending with the day on which the amount is paid]:
1. Subs. by Act 4 of 1988, s. 84, for section 218 (w.e.f. 11988). Earlier section 218 was amended by Act 21 of 1979,
s. 19 (w.e.f. 11979) which was substituted by Act 19 of 1978, s. 30 (w.e.f. 11978).
The provisions of sub-sections
and
of section 215 shall apply to interest payable under
this section as they apply to interest payable under that section.
1[218. When assessee deemed to be in default.—If any assessee does not pay on the date specified
in sub-section
of section 211, any instalment of the advance tax that he is required to pay by an order
of the Assessing Officer under sub-section
or sub-section
of section 210 and does not, on or before
the date on which any such instalment as is not paid becomes due, send to the Assessing Officer an
intimation under sub-section
of section 210 or does not pay on the basis of his estimate of his current
income the advance tax payable by him under sub-section
of section 210, he shall be deemed to be an
assessee in default in respect of such instalment or instalments.]
219. Credit for advance tax.—Any sum, other than a penalty or interest, paid by or recovered from
an assessee as advance tax in pursuance of this Chapter shall be treated as a payment of tax in respect of
the income of the period which would be the previous year for an assessment for the assessment year next
following the financial year in which it was payable, and credit therefor shall be given to the assessee in
the regular assessment.
2* * * * *
D.—Collection and recovery
220. When tax payable and when assessee deemed in default.—
Any amount, otherwise than by
way of advance tax, specified as payable in a notice of demand under section 156 shall be paid within
3[thirty days] of the service of the notice at the place and to the person mentioned in the notice :
Provided that, where the 4[Assessing Officer] has any reason to believe that it will be detrimental to
revenue if the full period of 3[thirty days] aforesaid is allowed, he may, with the previous approval of the
5[Joint Commissioner], direct that the sum specified in the notice of demand shall be paid within such
period being a period less than the period of 3[thirty days] aforesaid, as may be specified by him in the
notice of demand.
6[
Where any notice of demand has been served upon an assessee and any appeal or other
proceeding, as the case may be, is filed or initiated in respect of the amount specified in the said notice of
demand, then, such demand shall be deemed to be valid till the disposal of the appeal by the last appellate
authority or disposal of the proceedings, as the case may be, and any such notice of demand shall have the
effect as specified in section 3 of the Taxation Laws (Continuation and Validation of Recovery
Proceedings) Act, 1964 (11 of 1964).]
If the amount specified in any notice of demand under section 156 is not paid within the period
limited under sub-section
and ending with the day on which the amount is paid]:
1. Subs. by Act 4 of 1988, s. 84, for section 218 (w.e.f. 11988). Earlier section 218 was amended by Act 21 of 1979,
s. 19 (w.e.f. 11979) which was substituted by Act 19 of 1978, s. 30 (w.e.f. 11978).