Menu
234A interest
Whether 234A interest needs to be calculated on tax payable including 234A also???
Replies (3)
The taxpayer is liable to pay simple interest at 1% per month or part of a month for delay in filing the return of income . Tax is calculated on tax payable.
It is not including 234A. only on tax liability amount.
1. Interest u/s 234A @ 1% will need to be payable on the Net tax liability payable after deduction of TDS and advance tax.
2. If your IT comes to Rs. 50,000 and you have a credit of Rs. 30,000 in TDS and Rs. 15,000 in advance tax, interest u/s 234A will need to be paid on the balance Rs. 5,000 @ 1% p.m for every month or part of a month from the due date for filing the ROI until the return is filed.
Please correct me if the above solution has an alternative view.
Recent Topic
- Reabte 87A new regeim for FY 2025-26 (AY2026-27)
- OTP ENTERED BUT NOT PROCESS THE RETURN
- Form 16 Includes Salary Recovered Towards Notice P
- Altera INTC
- Itr schema a.y 26-27 v/s form no.16
- Advance Tax for senior citizen with small speculat
- Zero income tax on Capital Gain on sale of house p
- Rental income calculation for 12months
- PF Withdrawal before completing 5 years
- Discrepancy in "Processed By Source" and
Related Topics
CAclubindia
