Section 280G — Machinery of the Annuity-Deposit Scheme (Chapter XXII-A)
Case Laws & Commentary — Income-tax Act, 1961 (as amended by the Finance Act, 2026) — bharattax.co Treatise
Status: Omitted by the Finance Act, 1988, w.e.f. 1-4-1988 (Chapter inoperative since 1-4-1969). Historic provision.
Finance Act, 2026: No change. The Chapter was omitted w.e.f. 1-4-1988 and is not amended by the Finance Act, 2026; any reference to a like-numbered provision in the Income-tax Act, 2025 is a separate enactment and not this section.
Place in the scheme: Machinery of the Annuity-Deposit Code — manner, time and proof of making the deposit.
Litigation profile: No reported authority traced on this section as such; candour rule applied.
A. COMMENTARY
Place in the scheme
In the architecture of Chapter XXII-A this provision formed part of the machinery of the annuity-deposit code, concerned with manner, time and proof of making the deposit. The annuity-deposit scheme was a self-contained code that required the deposit (s.280C), measured it on ‘adjusted total income’ (s.280-O and connected provisions), repaid it as a ten-year annuity (s.280D) and was worked through a detailed Scheme framed under s.280W. The provisions between the charge and the repayment carried the working machinery — computation, manner and time of deposit, interest, certificates, special cases and recovery.
A candid statement of the limits of the source
The current consolidated Income-tax Act, 1961 prints this section only as part of the composite omission note set out in Part B; it does not reproduce the pre-omission text, and the arrangement of sections shows the number simply as ‘[Omitted.]’. The Chapter was also renumbered more than once between 1964 and its omission in 1988, so a given number did not always carry the same heading. The role stated above is therefore given at the level at which it can be stated responsibly from the scheme's known architecture; the exact marginal heading and sub-section text of this particular number are not reproduced here, nothing being supplied from imagination.
Governing case law sits elsewhere
No reported decision of the Supreme Court, a High Court or the Tribunal has been traced turning on this section as such. The Chapter's case law is concentrated on validity (s.280C — Hari Krishna Bhargav) and on the taxability of repayments received otherwise than by the depositor (s.280D — Kapil Mohan and the High Court line), to which the reader is referred.
B. STATUTORY STATUS (verbatim chapter note — local Act PDF, as amended up to the Finance Act, 2025)
The Income-tax Act, 1961 as it presently stands does not print the individual annuity-deposit sections; the whole of Chapter XXII-A survives only as the composite omission note reproduced below. This is the only text concerning this section that exists in the bare Act, and it is reproduced verbatim.
CHAPTER XXII-A — ANNUITY DEPOSITS
[Chapter XXII-A, consisting of sections 280A, 280B, 280C, 280D, 280E, 280F, 280G, 280H, 280-I, 280J, 280K, 280L, 280M, 280N, 280-O, 280P, 280Q, 280R, 280S, 280T, 280U, 280V, 280W and 280X, omitted by the Finance Act, 1988, w.e.f. 1-4-1988. The Chapter was inserted by the Finance Act, 1964, w.e.f. 1-4-1964 and has not been in operation since 1-4-1969 when the requirement as to annuity deposit was discontinued by the Finance Act, 1968, w.e.f. 1-4-1968 through an amendment made in section 280C.]
C. AUTHORITIES
No authority decides a point under this section; the Chapter's governing cases are cross-referenced under the candour rule.
Authorities directly on this section
Applying the candour rule: diligent search of the reported decisions of the Supreme Court, the High Courts and the Income-tax Appellate Tribunal discloses no judgment turning on this numbered section as such. The reported annuity-deposit litigation is concentrated on the validity of the scheme (s.280C / Chapter as a whole) and on the taxability of repayments under s.280D received otherwise than by the original depositor. Nothing is supplied here from imagination.
Position: No reported Supreme Court, High Court or ITAT decision has been traced that decides a point arising specifically under this section of the annuity-deposit code.
Cross-reference: For the governing case law on the Chapter see Section 280C (validity — Hari Krishna Bhargav (1966) 59 ITR 243 (SC)) and Section 280D (repayment — Kapil Mohan (SC) and the High Court line it reconciled).
Case Laws & Commentary
Section 280G — Machinery of the Annuity-Deposit Scheme (Chapter XXII-A)
Case Laws & Commentary — Income-tax Act, 1961 (as amended by the Finance Act, 2026) — bharattax.co Treatise
Status: Omitted by the Finance Act, 1988, w.e.f. 1-4-1988 (Chapter inoperative since 1-4-1969). Historic provision.
Finance Act, 2026: No change. The Chapter was omitted w.e.f. 1-4-1988 and is not amended by the Finance Act, 2026; any reference to a like-numbered provision in the Income-tax Act, 2025 is a separate enactment and not this section.
Place in the scheme: Machinery of the Annuity-Deposit Code — manner, time and proof of making the deposit.
Litigation profile: No reported authority traced on this section as such; candour rule applied.
A. COMMENTARY
Place in the scheme
In the architecture of Chapter XXII-A this provision formed part of the machinery of the annuity-deposit code, concerned with manner, time and proof of making the deposit. The annuity-deposit scheme was a self-contained code that required the deposit (s.280C), measured it on ‘adjusted total income’ (s.280-O and connected provisions), repaid it as a ten-year annuity (s.280D) and was worked through a detailed Scheme framed under s.280W. The provisions between the charge and the repayment carried the working machinery — computation, manner and time of deposit, interest, certificates, special cases and recovery.
A candid statement of the limits of the source
The current consolidated Income-tax Act, 1961 prints this section only as part of the composite omission note set out in Part B; it does not reproduce the pre-omission text, and the arrangement of sections shows the number simply as ‘[Omitted.]’. The Chapter was also renumbered more than once between 1964 and its omission in 1988, so a given number did not always carry the same heading. The role stated above is therefore given at the level at which it can be stated responsibly from the scheme's known architecture; the exact marginal heading and sub-section text of this particular number are not reproduced here, nothing being supplied from imagination.
Governing case law sits elsewhere
No reported decision of the Supreme Court, a High Court or the Tribunal has been traced turning on this section as such. The Chapter's case law is concentrated on validity (s.280C — Hari Krishna Bhargav) and on the taxability of repayments received otherwise than by the depositor (s.280D — Kapil Mohan and the High Court line), to which the reader is referred.
B. STATUTORY STATUS (verbatim chapter note — local Act PDF, as amended up to the Finance Act, 2025)
The Income-tax Act, 1961 as it presently stands does not print the individual annuity-deposit sections; the whole of Chapter XXII-A survives only as the composite omission note reproduced below. This is the only text concerning this section that exists in the bare Act, and it is reproduced verbatim.
CHAPTER XXII-A — ANNUITY DEPOSITS
[Chapter XXII-A, consisting of sections 280A, 280B, 280C, 280D, 280E, 280F, 280G, 280H, 280-I, 280J, 280K, 280L, 280M, 280N, 280-O, 280P, 280Q, 280R, 280S, 280T, 280U, 280V, 280W and 280X, omitted by the Finance Act, 1988, w.e.f. 1-4-1988. The Chapter was inserted by the Finance Act, 1964, w.e.f. 1-4-1964 and has not been in operation since 1-4-1969 when the requirement as to annuity deposit was discontinued by the Finance Act, 1968, w.e.f. 1-4-1968 through an amendment made in section 280C.]
C. AUTHORITIES
No authority decides a point under this section; the Chapter's governing cases are cross-referenced under the candour rule.
Authorities directly on this section
Applying the candour rule: diligent search of the reported decisions of the Supreme Court, the High Courts and the Income-tax Appellate Tribunal discloses no judgment turning on this numbered section as such. The reported annuity-deposit litigation is concentrated on the validity of the scheme (s.280C / Chapter as a whole) and on the taxability of repayments under s.280D received otherwise than by the original depositor. Nothing is supplied here from imagination.
No direct authority on section 280G
Position: No reported Supreme Court, High Court or ITAT decision has been traced that decides a point arising specifically under this section of the annuity-deposit code.
Cross-reference: For the governing case law on the Chapter see Section 280C (validity — Hari Krishna Bhargav (1966) 59 ITR 243 (SC)) and Section 280D (repayment — Kapil Mohan (SC) and the High Court line it reconciled).