Res/Sir,
I filled Dec-18 3B with shirt payment of tax and clear it's balance liability in Dec-19 3B . sufficient ITC was available during the corresponding period from Dec 18 to Dec 19. Are we liable to pay interest on it. Pls clear my question with case law or ruling.
Thanks
In terms of section 50(1) read with rule 88B(2) interest is leviable on gross tax liability to the extent it remained unpaid, irrespective of e credit ledger balance since the liability for FY 18-19 was discharged in FY 19-20. Had it been discharged in the same FY but in any subsequent month it would have been levied only on net cash basis.
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