Gift-Tax Act, 1958

Section - 16B - Interest for defaults in furnishing return of gifts

50[Interest for defaults in furnishing return of gifts.

16B. (1) Where a return of gifts for any assessment year under sub-section (1) of section 13 or section 14, or in response to a notice under clause (i) of sub-section (4) of section 15, is furnished after the 30th day of June of such year, or is not furnished, the assessee shall be liable to pay simple interest at the rate of two per cent for every month or part of a month comprised in the period commencing on the 1st day of July of the assessment year, and,-

(a)-where the return is furnished after the 30th day of June ending on the date of furnishing of the return; or
(b)-where no return has been furnished, ending on the date of completion of the assessment under sub-section (5) of section 15,
on the amount of tax payable on the taxable gifts as determined 51[under sub-section (1) of section 15 or] on regular assessment.

52[Explanation 1.-In this sub-section, "tax payable on the taxable gifts as determined under sub-section (1) of section 15" shall not include the additional gift-tax, if any, payable under section 15.]

Explanation 2.-Where in relation to an assessment year the assessment is made for the first time under section 16, the assessment so made shall be .... To read the full section download the app from Google Play store