INTEREST ON SELF ASSESSMENT TAX

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 June 2010 Dear sir

I have to pay tax of Rs 781 for the a.y 2010-11 whether i have to pay any interest amount on this till now i have not deposited any amount.

Please reply

CA Sanat Pyne

CA Sanat Pyne (Expert)
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27 June 2010 YES YOU HAVE TO PAY INTEREST @1% PM (FROM APRIL TO TILL THE DATE OF PAYMENT)ON 781 U/S 234B

CA G. SURYANARAYANAN

CA G. SURYANARAYANAN (Expert)
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27 June 2010 Interest u/s 234A is to be paid when the return is filed beyond the due date. Your due date for the A.Y. 2010-11 may be July 31st or September 30th depending upon the head under which you are assessable and your accounts are required to be audited under section 44AB of the Incometax Act.

Int. on non payment of Advance Tax or shortfall in payment of Advance Tax u/s 234B or 234C is payable only when the tax due on your income exceeds Rs.10000/- u/s208 of the Incometax Act.(with effect from 1-4-2009) (earlier it was Rs.5000/-)

So you may deposit of the tax amount only as self assessment tax u/s 140A.

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Shudhanshu Agrawal

Shudhanshu Agrawal (Expert)
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28 June 2010 Yes agree with the sir. In your case advance tax u/s 208 is not applicable and hence you dont have to deposit any interest u/s 234B and 234C. Just deposite your tax liability before 31st July and file your ITR also before 31 st July.