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Section 25 of The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015

Notwithstanding any appeal preferred to the High Court or the Supreme Court, the tax shall be paid in accordance with the assessment made under this Act.

Summary

Even if a taxpayer appeals to a High Court or the Supreme Court, they still have to pay the tax.
The tax amount must be paid according to the original assessment made by the tax authorities.
Filing a higher appeal does not automatically stop the requirement to pay the assessed dues.
This ensures that tax collection continues while legal arguments are settled in the highest courts.

Practical examples

1Mr. Verma is assessed for a tax of fifty lakh rupees on a foreign property. He believes the valuation is wrong and appeals to the High Court. Despite the pending appeal, under Section 25, he must pay the full fifty lakh rupees to the government now.

2A large corporation takes a tax dispute all the way to the Supreme Court. While waiting for the final hearing, the corporation must still clear its tax arrears based on the current assessment. Section 25 prevents them from using the appeal as a reason to hold onto the money.

FAQ

1. Does filing an appeal to the Supreme Court stop me from having to pay tax under the Black Money Act?

No, Section 25 of the Act states that tax shall be paid in accordance with the assessment even if an appeal is preferred to the Supreme Court.

2. Under Section 25 of the Black Money Act, what happens to my tax liability while a High Court appeal is pending?

You must still pay the tax as per the assessment made under the Act, regardless of the appeal to the High Court.

3. Which courts are specifically mentioned in Section 25 of The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 regarding pending appeals?

Section 25 of the Act mentions appeals preferred to the High Court or the Supreme Court.

Test yourself

Q1.According to Section 25 of The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, what must be paid despite a pending appeal to the High Court?

Q2.Section 25 of the Black Money Act applies to appeals in which two specific courts?

Q3.Does Section 25 of The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 allow for a stay of tax payment during a Supreme Court appeal?

Q4.Under Section 25 of the Black Money Act, the tax is paid based on what?

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