Section 234, which stood at the head of Part F, was omitted by the Direct Tax Laws (Amendment) Act, 1987 with effect from 1 April 1989. The same amending Act that deleted it simultaneously recast the interest scheme of Chapter XVII by inserting sections 234A, 234B and 234C under the new Part heading "F.—Interest chargeable in certain cases". The number 234 (without a letter suffix) is consequently a vacant entry in the statute book; the operative provisions of this Part are sections 234A to 234D.
2. Why it is set out here
This Treatise reproduces every section number in the Part, including omitted ones, so that the chapter maps the Act exactly and a reader is not left wondering whether section 234 has been overlooked. No charging provision survives under section 234; any reference to "section 234" in older judgments or commentaries is to the pre-1989 text, which has no application to assessment year 1989-90 or later. The substantive interest charges are dealt with in the separate notes on sections 234A (default in furnishing return), 234B (default in payment of advance tax), 234C (deferment of advance tax) and 234D (interest on excess refund).
3. Candour note on case law
There is no live body of case law on section 234 as such, the provision having been spent for more than three decades. Accordingly, no authorities are digested here. The decisions interpreting the present interest regime are collected under sections 234A-234D. The Finance Act, 2026 does not revive section 234 or otherwise affect this Part.
B. STATUTORY TEXT (verbatim)
Reproduced verbatim from the Income-tax Act, 1961. The bare Act carries only the omission note.
234. [Omitted]
234. [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.]
CHAPTER XVII - COLLECTION AND RECOVERY OF TAX | F.—INTEREST CHARGEABLE IN CERTAIN CASES
Section 234 — [Omitted]
Case Laws & Commentary — Income-tax Act, 1961 (as amended by the Finance Act, 2026) — bharattax.co Treatise
Status: Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989. No live provision.
Finance Act, 2026: Not revived or amended by the Finance Act, 2026.
Mechanism: None — vacant section number; the operative charges are sections 234A to 234D.
Litigation profile: Nil — spent provision; candour rule applied (no authorities).
A. COMMENTARY
1. Status — omitted
Section 234, which stood at the head of Part F, was omitted by the Direct Tax Laws (Amendment) Act, 1987 with effect from 1 April 1989. The same amending Act that deleted it simultaneously recast the interest scheme of Chapter XVII by inserting sections 234A, 234B and 234C under the new Part heading "F.—Interest chargeable in certain cases". The number 234 (without a letter suffix) is consequently a vacant entry in the statute book; the operative provisions of this Part are sections 234A to 234D.
2. Why it is set out here
This Treatise reproduces every section number in the Part, including omitted ones, so that the chapter maps the Act exactly and a reader is not left wondering whether section 234 has been overlooked. No charging provision survives under section 234; any reference to "section 234" in older judgments or commentaries is to the pre-1989 text, which has no application to assessment year 1989-90 or later. The substantive interest charges are dealt with in the separate notes on sections 234A (default in furnishing return), 234B (default in payment of advance tax), 234C (deferment of advance tax) and 234D (interest on excess refund).
3. Candour note on case law
There is no live body of case law on section 234 as such, the provision having been spent for more than three decades. Accordingly, no authorities are digested here. The decisions interpreting the present interest regime are collected under sections 234A-234D. The Finance Act, 2026 does not revive section 234 or otherwise affect this Part.
B. STATUTORY TEXT (verbatim)
Reproduced verbatim from the Income-tax Act, 1961. The bare Act carries only the omission note.
234. [Omitted]
234. [Omitted by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989.]
C. AUTHORITIES