Interest

Section	Amount on which interest payable	Rate of interest	Period of Interest
SECTION 115P — Failure to pay the whole or any part of the tax on distributed profits of domestic companies (i.e., dividend) referred u/s. 115-O(1).	Amount of tax not paid on distributed profits.	w.e.f 8-9-2003 Simple interest @ 1% for every month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-2000 to 31-5-2001 @ 1.5% pm Up to 31-5-2000 @ 2% pm	From the day immediately following the last date on which the dividend distribution tax was to be paid to the date of actual payment.
SECTION 115S — Failure to pay the whole or any part of the tax on income distributed by Unit Trust of India/Mutual Fund referred u/s. 115R(1) or (2)	Amount of tax not paid on income distributed.	w.e.f. 8-9-2003 Simple interest @ 1% for every month or part thereof 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-2000 to 31-5-2001 @ 1.5% pm Up to 31-5-2000 @ 2% pm	From the day immediately following the last date on which the income distribution tax was to be paid to the date of actual payment.
SECTION 158BFA — (a) Delay or failure in furnishing the return of total income including undisclosed income for the block period as required by notice u/s. 158BC(a) OR (b) Undisclosed Income determined by the Assessing Officer is in excess of the income shown in such return.	Undisclosed income determined u/s. 158BC(c).	w.e.f. 8.9.2003 Simple interest @ 1% per month or part thereof. Between 1.6.20001 and 7.9.2003 @1.25% and prior to 1.6.2001 @ 2%	From the expiry of time allowed to furnish the return to the date of furnishing of return or where no return is filed to the date of completion of assessment u/s. 158BC(c).
SECTION 201(1A) — Failure to deduct whole or any part of tax deducted at source or failure to deposit tax deducted at source	(a) Amount of tax not deducted or (b) having deducted the tax, paid after due date	w.e.f. 1-4-2008 Simple interest @ 1% per month or part thereof 8-9-2003 to 31.3.2008 @ 12% per annum 1-6-2001 to 7-9-2003 @ 15% per annum	From the date, on which the tax was to be deducted, to the date of actual payment.
SECTION 206C(7) — Failure to collect tax at source or failure to deposit the same after collection at source	(a) Amount of tax not collected or (b) having collected the tax, deposited after due date	w.e.f. 8-9-2003 Simple interest @ 1% per month or part thereof 1-6-2001 to 7-9-2003 @ 1.25% per month	From the date, on which the tax was to be collected, to the date of actual payment.
SECTION 220(2) — Failure To pay the Amount specified in notice of demand u/s 156 or delay to pay the demand issued u/s 156	Amount of tax demanded as per notice u/s. 156.	w.e.f 8-9-2003 Simple interest @ 1% per month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm Up to 31-5-2001 @ 1.5% pm	From the day next following the day on which period specified in notice expires till the date of actual payment of specified amount.
SECTION 234A(1) — Delay or failure to furnish return of income u/s. 139(1)/139(4)/ 142(1)	Tax on total income determined u/s. 143(1) or on regular assessment as reduced by advance tax paid; TDS or TCS; any relief of tax allowed u/s. 90 on account of tax paid in a country outside India; any relief of tax allowed u/s. 90A on account of tax paid in a specified territory outside India referred to in that section; any deduction, from the Indian Income-tax payable, allowed u/s. 91, on account of tax paid in a country outside India; and any tax credit allowed to be set off in accordance with the provisions of Section 115JAA.	w.e.f. 8-9-2003 simple interest @ 1% per month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-1997 to 31-5-2001 @ 1.5% pm Up to 31-5-1997 @ 2% pm	From the date immediately following the due date to the date on which return is furnished or on the date on which best judgment assessment u/s. 144 is completed.
SECTION 234A(3) — Failure to furnish return required by a notice u/s. 148 within time allowed or failure to furnish the return.	Difference between tax determined on reassessment and tax determined on earlier assessment.	w.e.f. 8-9-2003 Simple interest @ 1% per month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-1997 to 31-5-2001 @ 1.5% pm Up to 31-5-1997 @ 2% pm For block period, similar interest payable @ 1% pm u/s 158BFA(1)	From the expiry of time allowed to furnish the return u/s. 148 / 153A to the date of furnishing of return or where no return is filed to the date of completion of reassessment.
SECTION 234B(1) — Failure to pay advance tax in entirety or (2) Where advance tax paid falls short of 90% of assessed tax	(a) Assessed Tax [Tax on total income determined u/s. 143(1) or on regular assessment as reduced by TDS or TCS; any relief of tax allowed u/s. 90 on account of tax paid in a country outside India; any relief of tax allowed u/s. 90A on account of tax paid in a specified territory outside India referred to in that section; any deduction, from the Indian Income-Tax payable, allowed u/s. 91, on account of tax paid in a country outside India; and any tax credit allowed to be set off in accordance with the provisions of Section 115JAA. or (b) The amount by which advance tax paid falls short of assessed tax	w.e.f. 8-9-2003 Simple interest @ 1% per month or part thereof 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-1997 to 31-5-2001 @ 1.5% pm Up to 31-5-1997 @ 2% pm	From 1st April of the relevant Assessment Year to the date of determination of income u/s. 143(1) or date of regular assessment if such assessment is made.
SECTION 234B(3) — Where the amount on which interest is payable u/s. 234B(1) is increased as a result of reassessment u/s. 147	Difference between tax determined on reassessment and tax determined on earlier assessment	w.e.f. 8-9-2003 Simple interest @ 1% per month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-1997 to 31-5-2001 @ 1.5% pm Up to 31-5-1997 @ 2% pm	From the date of original assessment to the date of reassessment under Section 147 or Section 153A.
SECTION 234C — Shortfall/ failure to pay advance tax or Deferment of advance tax	Amount of tax not paid or shortfall in payment during various instalments. [Tax on returned income is considered]. If capital gain arises after any due date of instalment, tax on capital gain shall be paid in balance available instalments due after the date of gain.	w.e.f. 8-9-2003 Simple interest @ 1% per month or part thereof. 1-6-2001 to 7-9-2003 @ 1.25% pm 1-6-1997 to 31-5-2001 @ 1.5% pm Up to 31-5-1997 @ 2% pm	On the shortfall of prescribed amount due on 15th June (for company), 15th September, 15th December, interest to be calculated for minimum 1 month and maximum of 3 months and for the instalment due on 15th March, straightforward 1% on shortfall amount. However interest under this section shall not be levied in respect of shortfall of advance tax on account of capital gains or winings from races, lotteries etc. if assessee has paid the advance tax as a part of remaining instalments of advance tax due if any or by 31st March of the Financial Year.
SECTION 234D — Where refund granted on assessment u/s. 143(1) is found to be not due on regular assessment or refund granted is in excess of refund determined on regular assessment.	Whole of the amount so refunded or excess amount so refunded	Simple interest @ 0.50% per month or part thereof.	From the date of grant of refund u/s. 143(1) to the date of regular assessment.
SECTION 244A(a) — Where refund arises as result of excess payment of advance tax or higher TCS or TDS or Advance Fringe Benefit Tax, provided the said amount is not less than 10% of tax determined u/s 115WE (1) or 143(1) or on regular assessment. (b) refund arises in any other case. However such refund should not be less than 10% of tax determined.	Amount of refund due.	w.e.f. 8-9-2003 Simple interest @ ½ % per month or part thereof. 1-6-2002 to 7-9-2003 @ 2/3 % p.m. 1-6-2001 to 31-52002 @ ¾% p.m. 1-10-1991 to 31-5-2001 @ 1% p.m. 1-4-1989 to 30-91991 @ 1.5% p.m.	In case (a) from 1st April of relevant Assessment Year to the date on which the refund is granted and in case (b) from the date of payment of tax or penalty to the date on which refund is granted.