Request to waive the interest on late payment u/s 201(1a)

SAI SASANKA (CA) (108 Points)

07 February 2014  

Hi…We received intimation and demand notice under section 200A and 154 for late payment of TDS for 26Q3 and 24Q3. Due to banking server down on 07-11-2012 we paid the amount on 08-11-2012, for one day delay department levied interest at 1.5% for 2months under section 201(1A). It costs us nearly 2 lakh. We have taken a declaration from bank stating that it was their problem. Is this evidence suffice to go to department and request them to waive the interest? Will they accept??