Interest rate on TDS delay payment

This query is : Resolved

nagaraja (Querist)
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09 July 2010 Dear all,
If the TDS is due on 7th january 2010 but is paid only on July 10th. then whether I have to calculate Interest @ 1.5% from January 7th or only from 1st July and for the left of the period 1%?
because I think interest rate is changed from July 1st.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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09 July 2010 1.5% P.M. FOR JULY FOR REST 1% P.M.
CALCULATE INTEREST FROM THE DATE OF DEDUCTION AND NOT DUE DATE OF PAYMENT.

madhav

madhav (Expert)
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09 July 2010 if the due date of tds payment is 7th january, u have to calculate the interest of 1% for the month of jan,feb,march,aprl,may,june and for the month of july u have to calculate the interest @ 1.5%. bcoz the new provision/rate of interest is effective from july 1st onwards.

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Shyam Lal Naik

Shyam Lal Naik (Expert)
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09 July 2010 Interest for Dec shall also pe paid. As rightly pointed by Mr. Gupta, interest shall be paid from the date of deduction.