Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 December 2011 I made tax deduction of Rs 68700 on 3/4/2009 but paid on 13/5/2009. department send notice for 2 month default for late interest whether it is justified? If yes int for 2 month calculate or I supposed it is only for 1 month default plz reply whether i m right or department right

Pragnesh

Pragnesh (Expert)
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30 December 2011 Department is right. As per sec. 201(1) period for which interest is payable if from the date on which tax was deductible to the date. Hence interest will be applicable for 2 months i.e. April and May

Querist : Anonymous

Querist : Anonymous (Querist)

30 December 2011 so on tds deducted on 20/4/2009 why department calaculate only 1 month interest?

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Querist : Anonymous

Querist : Anonymous (Querist)

30 December 2011 so tds deducted on 20/4/2009 paid on 13/5/2009 in other case department charge only 1 month interest i confused

Ghanshyam T Jha

Ghanshyam T Jha (Expert)
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30 December 2011 No need to be confused. In above 2nd case interest will be lavied only for 1 month as period for 20.04.09 to 13.05.09 will be count one month (i.e.23 days - part of the month will be cound a full month)

CA Hardik Bunha

CA Hardik Bunha (Expert)
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30 December 2011 you have to paid interest for 1 month only. your due date for paid was 7/05/2009. so give reply to department.

Querist : Anonymous

Querist : Anonymous (Querist)

02 January 2012 i m still confused some say 1 month some say 2 month interest can anybody give clear answer

Ghanshyam T Jha

Ghanshyam T Jha (Expert)
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02 January 2012 I told as per as per law and practice. Calcluation of interest on delay payment of TDS is already explained from Mr. Sitapara. It is not calculated form due date till date of actual payment.

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