Certain deductions only on actual payment

Taxes, duties, cess, employer contributions to PF/ESI, bonus, leave encashment are deductible ONLY on actual payment (not on accrual basis). Must be paid before filing ITR due date to claim in that year.

Key provisions

• Taxes, duties, cess, employer contributions to PF/ESI, bonus, leave encashment are deductible ONLY on actual payment (not on accrual basis). Must be paid before filing ITR due date to claim in that year.

Use via API

curl https://api.thynktax.com/v1/tax-law/sections/by-2025-ref/98

{
  "act_2025_ref": "98",
  "old_reference": "Section 43B, Income Tax Act 1961",
  "title": "Certain deductions only on actual payment",
  "category": "Section",
  "limit_or_rate": "-",
  "applicable_to": "-",
  "effective_from": "2026-04-01"
}