tds shall be allowed as expense for the a.y. 2010-2011,

however the delay in payment shall be liable to interest @ 1%p.m. or part thereof.

Originally posted by : prateek
	tds shall be allowed as expense for the a.y. 2010-2011, however the delay in payment shall be liable to interest @ 1%p.m. or part thereof.

agreed

Originally posted by : prateek
	tds shall be allowed as expense for the a.y. 2010-2011, however the delay in payment shall be liable to interest @ 1%p.m. or part thereof.

agree

i suggest all of u read section 40(a)(ia) properly and then answer the querry and mr prateek tds is an income tax which shall never be allowed as expenditure in whole income tax act

payments made shall be allowed as expenditure in PY 2010 2011 ony and there will be no dis allowance interest will however be paid at 1.5% and not 1% as the period between entries of TDS made and tds atually padi to govt account, but for the perioed of date of transsction and entires of TDS 1% interest will be have to be paid , and expense will always be alloed grossed up only nd TDS deducted will not be disallowed becoz it is income tax for the purpose of the recciver but for your client that is payer it is just an obligation that is created by law.