Tds interest

Dear Every One,

In FY 2012-13, I am Paid TDS U/S 194 A Of Q4 in August, but not to be Piad Interest,

Now I Have Received Notice with Interes of Rs 1494.00 & Late Filing Fees Of Rs 16400.00 

SO What Should I Do ? & How Interets Calculate.

Replies (1)
Originally posted by : Piyush
Dear Every One,

In FY 2012-13, I am Paid TDS U/S 194 A Of Q4 in August, but not to be Piad Interest,

Now I Have Received Notice with Interes of Rs 1494.00 & Late Filing Fees Of Rs 16400.00 

SO What Should I Do ? & How Interets Calculate.

Now you can't do anything, you need to pay Interest and Penalty as well.

U/s 201 (1A): Interest is charged @ 1.5% for every month or part of the month, from the date of deduction till the date of payment.

Offences and Prosecutions: U/s 276B for failure to pay to the govt's treasury deducted tax at source, Minimum: 3 Months and Fine & Maximum: 7 Years and Fine.

If you have received intimation u/s 200A, then such notice will be deemed as notice of demand u/s 156.

If such demand is not paid within 30 days of receipt of the intimation, then assessee will be deemed as Assessee in default and he shall pay interest u/s 220 &penalty u/s 221.

There may be chances that you will get some releif, if you can proof that the there was genuine reason for not paying the tax, like financial situation was not good. Before that you need to write an letter to the AO giving the reference of the notice which you received. So in that case they will ask number of documents like Bank Statement, TDS deduction and corresponding payment detials etc.

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