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234 b,c interest with capital gains

Others 925 views 2 replies

If capital gains is going to arise after 15th march of a financial year, how should i go about the treatment for 234B,C interest for that FY? Should CG also be considered as part as total tax ( for 234 B and last quarter of 234 C)?

Replies (2)
In your case assume capital gain tax is Rs.10,000 and if you can pay such amount before 31st March of F.Y then you will not be liable to pay 234B,C Interest. As per IT Provisions if any capital gain arises on last quarter of F.Y and before 15th March then it will be subject to Interest u/s.234B for Last quarter only i.e. 3% and if such transaction is after 15th March then you will be liable to Interest u/s.234B for 1 month only i.e. 1%(if you don't pay such amount on or before 31st, March). With regard to 234B, if you paid such amount before 31st march then it is regarded as advance tax and there will be no Interest u/s.234B.

I understand for the purpose of cg -s arising after 15th march tax paid after 15th march will also be considered as advance tax though the deadline is 15th march since the financial year is not yet closed.Senses correct. But can u quote the notification r section r circular by whose virtue this arises?

Thank you


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