Beneficiary of late filing of tds return

S. Shiroor (Others) (1207 Points)

23 October 2015  

IT dept collects  Rs 200 per day for late filing of TDS return. 

If Govt gets money[taxes]in its treasury on time and if return is filed late then

the real beneficiary of  this penalty must be the  deductee [assesse] ? .

The assesee gets benefits as interest on TDS only from  start of AY and only on [Tax credit -Tax liability]  amt while the TDS amt is in Govt treasury for 3/6/9 months . 

Again if TDs return is not filed the penalty is fully taken by Govt

Please comment  on above. What is the exact law?.