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Interest U/S 234A.

05 March 2022

Return filed on 08-01-2022. Self Tax paid on 26-11-2021.Due date for filing is 31-10-2021.Intimation received as interest Payable u/s 234A. Department has calculated up to January 2022. We have paid interest up to november 2021. Please clarify the above mentioned query.

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9 Replies

Eswar Reddy S (CFO- at NHTF) (58213 Points)
Replied 05 March 2022

234A interest is invalid.

Late fee u/s 234F may be applicable for late filing.

31.12.2021 was the deadline..

You may apply for rectification

sabyasachi mukherjee (26187 Points)
Replied 06 March 2022

Sec 234A is valid in the following cases:
1. if the return of income is furnished after the due date of return and the taxable income is above threshold of income then interest will be calculated .
Sec 234 F has seperate implications.

Eswar Reddy S (CFO- at NHTF) (58213 Points)
Replied 06 March 2022

When the tax is already paid before filing the return then what is the relevance of Section 234A ?

CA Surya Sekar (CFO ) (1347 Points)
Replied 06 March 2022

@ Saikiran marripalli

Kindly confirm for which Assessment Year you raised the query ?

If it is for AY-202021-22 then deadline was extended till 31.12.2021.

So may need to Modify your question.

Section 234A is applicable only if there is tax liability on the date of filing.

Eswar Reddy S (CFO- at NHTF) (58213 Points)
Replied 06 March 2022

@ Ca Surya Sekar , 234A is applicable if there is tax liability at the end of FY or beginning of AY.

So it's still applicable but he has already paid with interest then there should not be further interest ..

CA Surya Sekar (CFO ) (1347 Points)
Replied 06 March 2022

@ Saikiran marripalli

Check the date of payment of self assessment in ITR Form ..Is it correctly quoted ?

Eswar Reddy S (CFO- at NHTF) (58213 Points)
Replied 06 March 2022

Apply for rectification either reprocess the case or apply for data correction if any

CA Surya Sekar (CFO ) (1347 Points)
Replied 06 March 2022

Check whether the date of payment in challan & date of payment in ITR both are matching ?

Eswar Reddy S (CFO- at NHTF) (58213 Points)
Replied 06 March 2022

If it is not matching then the tax liability as per intimation should also include SAT + Interest..

Whatsapp on justdial number of " New Heaven Tax World " .These kind of technical issues may be resolved