Paresh (Chartered Accountant) (96 Points)
14 December 2011My Company has earned income in the last Quarter of Financial Year and paid tax U/s 115JB. Now i received intimation u/s 143(1) demanding Interest u/s 234C. My question is whether income earned in the last quarter of financial Year are liable to Interest u/s 234C. I require expert comment with decided case Laws if any.
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 15 December 2011
Please note that there is no exemption limit for companies unlike individuals & HUF’s. So even if the co has meagre income & the advance tax paid is less than the actual tax for the last quarter then interest wud be chargeable u/s 234C.
However if co has paid MAT, then I don’t know how the AO has raised an demand for 234C.
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