VittSphere ONE Calculators Blog CA Prabhakar Kumar · FCA · ICAI 560762
Case lawIncome-tax Act 2025Chapter XVIII › Section 369
Chapter XVIIIwas s.265

Section 369 of the Income-tax Act, 2025

Section 369 — Tax to be paid irrespective of appeal, etc. Successor to s.265 of the 1961 Act.

Where this section sits

Section 369 is in Chapter XVIII — Appeals Revisions and Alternate Dispute Resolutions, which runs from section 356 to section 389.

← Section 368  ·  Section 370 →

What this section does

The section is a single sentence: tax is payable in accordance with the assessment made in the case, irrespective of the fact that an appeal has been preferred to the High Court or the Supreme Court. Filing such an appeal therefore does not by itself suspend the demand raised on the assessment. The section names only appeals to the High Court and the Supreme Court.

Why it is there

It prevents recovery being held up by the mere act of appealing to the higher courts, so that the assessed tax remains payable while the appeal is pending.

Who it applies to

What this means in practice

Filing an appeal in the High Court or the Supreme Court does not put the demand in abeyance; the tax stays payable as assessed unless relief is obtained by some other route. Any stay has to come from elsewhere — the section itself provides none and creates no exception.

An example

Illustrative only, and invented for this page. The figures are chosen to show the rule biting, not taken from any real matter.

A company is assessed, served with a demand, and appeals to the High Court against the assessment. The tax stays payable as per the assessment made in the case — the appeal, by itself, does not suspend the demand — and the position is the same for an appeal to the Supreme Court. The section speaks only of those two courts, and only of the fact that an appeal has been preferred; it supplies no figure, no period and no procedure.

Where you meet this section

You meet it in recovery: it is the answer given when a demand raised on an assessment is pressed while an appeal to the High Court or the Supreme Court is pending. Nothing in it is claimed on a form — it operates on the notice of demand already served.

The words themselves

Irrespective of the fact that an appeal has been preferred to the High Court or the Supreme Court, tax shall be payable as per the assessment made in the case.
Section 369, Income-tax Act, 2025.

What people get wrong

What this replaced

The correspondence is the Income Tax Department’s own, from its comparison utility for the 1961 and 2025 Acts. A renumbering is the easy half; whether the words changed is the half that decides cases.

See the full 1961 to 2025 concordance.

What this page does not tell you. It does not reproduce the section. Everything above was written from the section’s own text as the Income Tax Department publishes it — the text is here, and nothing here is advice on your facts. Where a figure matters, read the sub-section it comes from.