23 December 2011
Income tax depart has demand the tax for A.Y.2004-05, 2007-08 & 2008-09 u/s 143(1). I am confusing here that interest rate for which a.y. will be applicable. i.e. demanded A.Y. or Current A.Y.? & what will be interest rate?
23 December 2011
U/s 220(2) the rate of interest is one percent per month or part of the month for the AYs mentioned in the query. . Interest U/s 220(2) is payable from the last day of payment specified in the notice or a period of 30 days from the notice. It is calculated on unpaid demand.
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