Dear sir/madam
we were not paying any interest on unsecured loan. But now we wanted to pay interest on unsecured loan.
Can we do that?
If yes, then what will be the consequences.
Thank in advance.
Menu
Interest on unsecured loan
Replies (4)
If you starts paying interest then you need to deduct TDS on same Interest amount @ 10%.
Read https://cleartax.in/s/section-194a-tds-on-interest-other-than-interest-on-securities
If there is any question put up regarding non payment of interest on unsecured loan. Then what will be the justification?
Is there any change in loan agreement which is demanding interest effective now only? Also evaluate if it is a related party transaction.
There is no change in loan agreement regarding interest. Loan has been taken from HUF
Recent Threads
- Penalty are applicable on short payment of GST
- Closing Stock111
- INVOCIE GENERATED FROM ONE COMPANY AND EWAY BILL G
- Ineligible itc under section 16(4) & itc restr
- Itc on when mixed sales percent in hospitality
- Apply for GST registration while working in MNC
- Deferment period for Advance Tax under Section 234
- Permanant transfer of duty free goods by Advance A
- 1% TDS Deduction on Property purchase through inst
- Tax on leave encashment on retirement
Related Threads
CAclubindia
