non deduction of tds

CONSEQUENCES OF DEFAULT

Failure to deduct or remit TDS /TCS(full or part)

•  Interest at the rates in force (12% p.a.) from the date on which tax was deductible/collectible to the date of payment to Government Account is chargeable.

•  Penalty equal to the tax that was failed to be deducted/collected or remitted is leviable.

In case of failure to remit the tax deducted/collected, rigorous imprisonment ranging from 3 months to 7 years and fine can be levied.