DATE OF DEDUCTION 30 NOV 2011 DUE DATE OF DEPOSIT 7 DEC 2011 TAX DEPOSITED DATE 12 DEC 2011.
INTEREST ON LATE FILING OF TDS IS CALCULATED ON 1 MONTH DEFAULT . BUT AS PER INTIMATION RECEIVED , TDS DEPARTMENT IS CALCULATING INTEREST ON 2 MONTH DEFAULT . DIFFERENT INTERPRETATION OF LAW BY DEPARTMENT.
RULE SAYS
Any person, principal officer or company who does not deduct the whole or any part of the tax or after deducting fails to pay the tax as required by or under this Act, he or it shall be liable to pay simple interest,—
(i) at one per cent for every month or part of a month on the amount of such tax from the date on which such tax was deductible to the date on which such tax is deducted; and
(ii) at one and one-half per cent for every month or part of a month on the amount of such tax from the date on which such tax was deducted to the date on which such tax is actually paid
* For General Information only
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