Sec. 234e

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Querist : Anonymous

Querist : Anonymous (Querist)

02 December 2013 Can fees under sec. 234e be waived?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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02 December 2013 No express provision in the act for waiver.

Querist : Anonymous

Querist : Anonymous (Querist)

02 December 2013 hi,
tds return for AY 2013-2014 was not filed during the respective due dates but now a scn has been issued by the dept asking for payment of fees u/s 234E ... Is there any way i can tackle it out?

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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23 July 2025 Regarding your question about **Section 234E fees and waiver**, here’s a clear explanation:

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## What is Section 234E?

* Section **234E** levies a **fee of ₹200 per day** for **delay in furnishing the TDS/TCS return** beyond the due date.
* The fee continues to accumulate **from the day after the due date till the return is filed**.
* The **maximum fee is capped at the amount of TDS/TCS deductible or collectible**.

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## Can the fees under Section 234E be waived?

* **No explicit provision** in the Income Tax Act or rules allows **waiver of 234E fees**.
* It is **strictly a mandatory fee** for delay in filing.
* **Courts and IT authorities** have generally upheld this fee as **mandatory** and **not waivable**.
* Unlike interest or penalty, **234E is a fee, and it must be paid**.

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## What can you do if a Show Cause Notice (SCN) is issued?

1. **Respond to the SCN promptly**:

* Explain the reasons for delay (if any genuine reason, e.g., technical glitches).
* Request the department for **consideration**, but note that **waiver is unlikely**.

2. **File the TDS return immediately** to stop further accumulation of fees.

3. If the amount is large, you can approach the **CIT(Appeals)** for relief, but chances of waiver remain slim.

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## Summary

| Query | Answer |
| ------------------------------------ | ----------------------------------------------- |
| Can Section 234E fee be waived? | ❌ No express provision for waiver |
| Is it mandatory to pay once charged? | ✅ Yes, payment is mandatory |
| What if SCN is issued? | Respond promptly; file return; appeal if needed |

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If you want, I can help you draft a response to the SCN or guide you on filing TDS returns to minimize fees.

Would you like that?

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