Tds

TDS 211 views 3 replies

For late payment of TDS, tds interest has to be calculated from date of invoice or date of payment.

Replies (3)

Read section 201 of income tax act.

Sir we have received invoice for courier service on 16/7/2016 but we have made payment on 15/11/2016, then when tds has to be paid to government and interest has to be paid from which date.

Hey tejas, interest on TDS is paid on month basis and not on date basis. So, interest has to be paid from the month tds was due to be paid (i.e. in your case it will be july month) till the month it is finally paid. And tds will be paid when you want to pay :)

Hence, if you want to pay less interest, i would recommend that you pay the tds by the end of january month. Otherwise interest for the month of Feb will also become payable.

 

Cheers !


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