Interest u/s 234b

Tax queries 598 views 3 replies

tax liability is Rs 85318.81

tds is 80914

Tax payable 4404.81

do interest under section 234B is applicable if balance tax liability is paid in aug 2013?

Due date of filing ITR is 05.08.2013

Replies (3)

Guest

yes interest u/s 234b will b applicable @ 1% for 4 months i.e april-july

Guest

it will 4405*1%*4=176

Ramakrishna

Financial Executive

438 Points Joined October 2007

Hi All!

234B applies only in a case where there is a default in the payment of advance tax. On and from AY 2010-11, advance tax liability arise in any case only when the remainder of the tax due which after giving credit for prepaid taxes like, TDS, exceeds Rs.10,000/-. Hope it is clear.

Goodbye! Cheers!!