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TDS LATE PAYMENT INTEREST.

Ma Nav (13 Points)

05 September 2023

A FIRM/COMPANY/PROP.FIRM PAID TDS LATE PAYMENT INTEREST

IS EXPENSE ALLOWED OR NOT

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6 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14169 Points)
Replied 05 September 2023

You Can go through So many Case laws .

RAJA P M ("Do the Right Thing...!!!") (127177 Points)
Replied 05 September 2023

No... Interest and Penalty Will be disallowed

1 Like

sabyasachi mukherjee (26083 Points)
Replied 06 September 2023

It depends

RAJA P M ("Do the Right Thing...!!!") (127177 Points)
Replied 06 September 2023

Originally posted by : sabyasachi mukherjee
	It depends

It's depends means..???

corporate genie (18 Points)
Replied 06 September 2023

TDS (Tax Deducted at Source) late payment interest is a penalty levied on entities that fail to deposit TDS deductions on time. In Delhi, Corporate Genie is a trusted service provider for TDS return filing. They specialize in helping businesses and individuals comply with TDS regulations. Corporate Genie ensures timely TDS deposit to avoid interest penalties and provides expert guidance on TDS compliance. Their expertise in TDS return filing in Delhi makes them a reliable partner for handling TDS-related matters, helping clients avoid late payment interest and stay in compliance with tax regulations.

Raman Sharma (36 Points)
Replied 09 September 2023

Interest on late payment of TDS is not penal in nature. it is allowed u/s 37(1). Honble SC in its ruling in d case of Lachmandas Mathuradas has held that interest on late payment of TDS is compensatory in nature and allowed as deduction u/s 37(1).

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