Section 2(24)(x)

Section 2(24)(x) — the law in short

What the courts have decided on section 2(24)(x), in one screen. Read this first; open an entry when you need the facts, the reasoning and the source.

• Checkmate Services P Ltd v CIT Supreme CourtHelps department
  You deposited employees' PF late but before filing the return. Is the deduction saved?
  No. Employees' contributions are held in trust and are deemed income; the deduction depends on depositing them by the due date under the PF or ESI Act. Section 43B, which governs the employer's own liabilities, does not rescue them.
• CIT v Alom Extrusions Ltd Supreme CourtHelps taxpayer
  I paid the PF contribution after year end but before the return due date. Is the deduction gone?
  No, for the employer's own contribution. The deletion of the second proviso to s.43B and the amendment of the first proviso by the Finance Act 2003 are curative and operate retrospectively from 1 April 1988, so employer's contributions to provident and other welfare funds paid before the return due date are deductible.
• Raj Kumar Bothra v DCIT High CourtHelps taxpayerValidity unconfirmed
  CPC disallowed my late-deposited PF and ESI under 143(1)(a). Was a summary adjustment even open to them?
  No, not for an intimation issued in December 2021. The Chhattisgarh High Court held the issue was genuinely debatable on that date, with conflicting High Court authority and the matter pending in the Supreme Court, so the officer had to take scrutiny under s.143(3) rather than adjust summarily.

Listed strongest first: Supreme Court, then High Court, then Tribunal, then CBDT. Nothing here has yet been read in full by a chartered accountant — open an entry to see where it came from.