Interest on Loan

THERE IS NO REQUIRMENT OF TAX DEDUCTION ON INTEREST...... PAID ON LOAN TAKEN FROM BANKING COMPANY....

Thanks Pushp,

Any reporting required in TDS return

Loan from foreign bank

NO ....THERE IS NO SUCH REQUIRMENT

Any certificate required from Foreign Bank for Audit purpose

SIR....ARE YOU LIABLE FOR TAX AUDIT

yes...............

AS PER PROVISIONS OF SECTION 43B...YOU HAVE TO PAY THE AMOUNT OF INTEREST ON LOAN ON OR BEFORE FILING RETURN U/S 139(1) ...THERE IS A CLAUSE IN TAX AUDIT REPORT WHERE PAYMENT OF STATUTORY DUES AND INTEREST IS MANDATORY BEFORE FILING RETURN ..... THESE EXPENSES ARE ALLOWED ON ACTUAL PAYMENT BASIS ..(NOT ON ACCRUAL BASIS)....THEREFORE YOU ARE REQUIRED TO GET INTEREST CERTIFICATE ...TO SHOW THE AUDITOR THAT INTEREST IS PAID ..AND SHOULD BE ALLOWED AS EXPENSE..