Tds on salary.

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Amarjit Singh (Querist)
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05 September 2013 we have forgot to deduct TDS on salary on monthly basis. Instead we have deducted the Whole TDS deductable in the month of March.
Now my question is that whether we have to pay any interest or penalty for non deduction of TDS on monthly basis.
Please Advise.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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05 September 2013 yes. Interest will apply for late deduction and payment at the rate of 1% per month or part of month

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CA Pallav Singhania

CA Pallav Singhania (Expert)
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05 September 2013 As of now will treated as assessee in default with interest of 1 percent or part of the month....

Rate of interest

W.e.f 01-07-2010

From the date when TDS was deductible till date of actual deduction,rate of interest is 1% p.m.

For delayed deposit, from date of deduction till actual date of payment, rate of interest is 1.5% p.m

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Amarjit Singh

Amarjit Singh (Querist)
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11 September 2013 Thanks for your reply.