Applicability of interest u/s 234A in case of rectifiction request filed with revised return data


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This discussion explores whether interest under section 234A of the Income Tax Act is applicable when a rectification request is filed with revised return data. The user filed a rectification request in March 2024 for AY 2022-23, and while the CPC nullified previous demands, they calculated interest from the original return filing date to the correction date. The consensus is that the interest is indeed applicable in this scenario.

03 May 2024 We had filed rectification request with revised return data of AY 22-23 in Mar,24. CPC has issued rectification order u/s 154 nullyfying demands raised in intimation u/s 143(1). However, they have computed interest u/s 234A from Date ff filing of return (Nov,22) to date of filing of correcttion i.e. Mar,24. Please let us know the applicability of interest u/s 234A in this case.

26 May 2024 Yes, interest is applicable in this case.

08 September 2024 Good Luck.


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