Tds dectucted but deposited after due date

TDS 2166 views 19 replies

TDS on provision provided on 31ST march but same has been deposited after due date then interest will be calculated from which month?

Replies (19)

from 31st march

INTEREST WILL BE APPLICABLE FROM 01.04.2012 AND WILL BE CALCUALTED ON MONTHLY AND PART OF MONTH WILL BE CONSIDERED AS COMPLETED MONTH

If the provision was for 31st March, then interest would be calculated from 31st March itself. Intt is calculated from the dae of deduction in case of late payment.

Regards

Prateek

I HAVE RECEIVED THE NOTICED FROM THE TDS COMMISIONER, HE ALWAYS COUNT THE DATE FROM 01.04 IN THE CASE OF TDS DEDUCTED 31.3 AND SAME DEPOSITED LATE WITHOUT INTEREST,

IF TDS HAS DEDUCTED ON 30.3 THEN MONTH OF MARCH ALSO TAKEN FOR THE CALCULATION OF INTEREST.

Neeraj Sir is right..

Interest is to be paid at 1.5 % for every month or part of a month on the amount of TDS from the date on which tax was deducted to the date on which tax is actually paid, and such interest shall be paid before furnishing the statement in accordance with the provisions of section 200(3).

So, here we have to consider the month march also for calculation of interest  on late payment of TDS.

 

 

Originally posted by : Prateek Agarwal

If the provision was for 31st March, then interest would be calculated from 31st March itself. Intt is calculated from the dae of deduction in case of late payment.

Regards

Prateek


Totally agreed with Prateek ji

Neeraj sir is right. Interest on TDS is to be calculated from the date of deduction to date of payment. So from the date of deduction i.e 31st march interest is calculated . But the time for payment without interest is till 31st may in that case.

 

Interest will be calculated from 31st March @ 1.5% p.m.  till the month it is paid.

 
 

 

Hi Team,

After going through Rule 30 and 37CA of the Income Tax (Sixth Amendment) Rule,2010, I have found the following:

"Where the income or amount is paid or credited in the month of march: Tax should be deposited by 30th April....."

As per sec. 201(1A) of the Act:

Interest is at the rate of 1% from date of tax deductible to date of tax deducted

Interest is at the rate of 1.5% from date of tax actually deducted to date of tax actaully paid

 In your case Date of tax actually deducted is 31st March

Therefore Int. @ 1.5% from 1.4. upto month of the actual date of payment

 

Dear Pritam,

You yourself have mentioned Intt is charged @ 1.5% from the date of tax "actually deducted" till date of payment.

Hence, it is clearly evident that actual date of deduction is 31.03, so how are you considering it from 01.04?

Your rule has laid out that intt. has to be calculated from 31.03 i.e. date of actual deduction.

Regards

Prateek

Interest should be calculated from the date of deduction i.e 31st March

I AGREE WITH PRITAM JAIN

 

In your case Date of tax actually deducted is 31st March

Therefore Int. @ 1.5% from 1.4. upto month of the actual date of payment


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