Arvind Sud vs Union Of India & Ors

The Supreme Court held that interest under Sections 234A, 234B, and 234C of the Income Tax Act was charged on a receipt basis, confirming that tax liability arose when the lottery prize was received on 8.11.1994, not at the time of declaration on 12.11.1993. The Court noted that the Revenue's instructions clarified this position, and any calculation errors regarding interest payments could be addressed under Section 154 of the Income Tax Act. Consequently, the civil appeal was dismissed without further orders.