Intererst u/s 243 b

Hi all,

 

I hav filied return U/s 44 AD (Presumptive Taxation), As per our income Tax Software using for filing the retun there is  no  Interest U/s 234 C But Now I am received Notice U/s 143 (1) Of Income Tax Act in that showing interest U/s 234 C.

 

1. My Question is that, Sec 234 C Appliacable to Presumptive Taxation  ...............?

2.Now I am Liable to Pay Interest as per the Notice...........................?

 

Replies (2)

from AY2011-12, if an assessee opts for presumtive income, advance tax need not be paid. 234c is for either non-payment of advance tax or when advance tax instalments are short paid. So interest under 234c cannot be levied. But the notice relates to which year

Chapter XVII-C is not applicable to assessee if assessee had adopted presumptive basis of  income u/s 44AD. The requirement to pay advance tax fall under chapter XVII-C, since the whole chapter is not applicable to assessee so there will be no requirement to pay advance tax as well as interest on advance tax.

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