Interest u/s 234 C

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 December 2010 For a non-company assessee if first instalment of Adv Tax payable for eg. on 15.9.10 is paid one day late i.e. on 16.9.10 then interest u/s 234C is calculated for how much period?

- For one Day
- For one Month
- For 3 months

Aditya Maheshwari

Aditya Maheshwari (Expert)
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24 December 2010 3 month i think as per 234C.

CA ASHISH GUPTA

CA ASHISH GUPTA (Expert)
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25 December 2010 According to bare reading of 234C it is to be charged for 3 months,
bt you have to refer Panther Intvestrade Ltd. V. CIT (2007) 160 Taxman 203 (Mumbai). According to case law interest is to be charged for the period of default only.