john (LEARNER) (549 Points)
11 June 2011Plz calculate Interest under section 234A, 234B, 234C
A.Y.2011-12, Date of Filing 11/06/2011, Due Date:31-jul-2011,
Net Taxable Income :877922
Tax on above :117377
Edu cess: 3521
Total Tax & Cess:120898
TDS Paid:
B4 15 sep 10 :12823
B4 15 Dec 10: 13130
B4 15 Mar 11: 31456
Total TDS :57409
Thank You
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 12 June 2011
| Originally posted by : john | ||
 |
Plz calculate Interest under section 234A, 234B, 234C A.Y.2011-12, Date of Filing 11/06/2011, Due Date:31-jul-2011, Net Taxable Income :877922 Tax on above :117377 Edu cess: 3521 Total Tax & Cess:120898 TDS Paid: B4 15 sep 10 :12823 B4 15 Dec 10: 13130 B4 15 Mar 11: 31456 Total TDS :57409 Thank You |
 |
Mr. John, first be clear that it is TDS paid or Advance tax paid. I think it is advance tax paid which you have written wrongly as TDS paid.
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 12 June 2011
however, if it is TDS deducted by other parties then:
|
Interest u/s 234A |
|
|
Nil |
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
interest u/s 234B |
|
|
|
|
|
|
total tax payable |
120,898.00 |
|
|
||
|
TDS |
57,409.00 |
|
|
||
|
|
|
|
|
||
|
total advance tax was to be paid |
63,489.00 |
|
|
||
|
paid |
- |
|
|
||
|
balance |
63,489.00 |
|
|
||
|
amount for interest |
63,400.00 |
|
|
||
|
interest @ 1% p.m. for 3 months |
1,902.00 |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
interest u/s 234C |
|
|
|
||
|
upto date |
payable |
paid |
balance |
amount for interest |
interest |
|
15-Sep |
19046.7 |
12823 |
6223.7 |
6200 |
186 |
|
15-Dec |
38093.4 |
25953 |
12140.4 |
12100 |
363 |
|
15-Mar |
63489 |
57409 |
6080 |
6000 |
60 |
|
|
|
|
609 |
||
|
|
|
|
|
||
|
|
|
|
|
|
|
|
Total Interest |
|
|
|
|
2,511.00 |
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 12 June 2011
and if it is advance tax paid then
|
Interest u/s 234A |
|
|
Nil |
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
interest u/s 234B |
|
|
|||
|
total tax payable |
120,898.00 |
|
|||
|
TDS |
- |
|
|||
|
|
|
|
|||
|
total advance tax was to be paid |
120,898.00 |
|
|||
|
paid |
57,409.00 |
|
|||
|
balance |
63,489.00 |
|
|||
|
amount for interest |
63,400.00 |
|
|||
|
interest @ 1% p.m. for 3 months |
1,902.00 |
|
|||
|
|
|
|
|||
|
|
|
|
|||
|
interest u/s 234C |
|
|
|
|
|
|
upto date |
payable |
paid |
balance |
amount for interest |
interest |
|
15-Sep |
36269.4 |
12823 |
23446.4 |
23400 |
702 |
|
15-Dec |
72538.8 |
25953 |
46585.8 |
46500 |
1395 |
|
15-Mar |
120898 |
57409 |
63489 |
63400 |
634 |
|
|
|
|
2731 |
||
|
|
|
|
|
||
|
|
|
|
|
|
|
|
Total Interest |
|
|
|
|
4,633.00 |
john
(LEARNER)
(549 Points)
Replied 12 June 2011
yes it is TDS PAID
before 15 sep
before 15 dec & before 31 mar
But Dear C.A. Ashu agarwal & chetan both of you have a complete different answer for a single question.
plz clearify which one is right and which one is wrong & why.
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 12 June 2011
@ Mr. john
section 234A levies the interest for not filing the Return of INcome on time.
section 234B levies the interest for not paying the advance tax. (interest is to be charged from 1st April of the A.Y.)
section 234C levies the interst for not paying the adance tax timely (interst is to be charged upto 31st march of the financial year)
Mr. Chetan has not considered the interest u/s 234B.
john
(LEARNER)
(549 Points)
Replied 12 June 2011
PLZ CHECK & IF NECESSARY CORRECT THE ATTACH INTEREST CALCULATION
THANK YOU
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 12 June 2011
| Originally posted by : john | ||
|
|
PLZ CHECK & IF NECESSARY CORRECT THE ATTACH INTEREST CALCULATION THANK YOU |
|
1. No interest u/s 234B is payable if 90% of assessed tax payable has been paid as advance tax. however, if advance tax paid is less than 90% of the assessed tax, then the interest u/s 234B is payable on the whole amount of (assessed tax - advance tax).
2. the amount on which interest is to be charged to be rounded off downward in hundreds.
naga kiran kumar
(Articles Completed)
(78 Points)
Replied 13 June 2011
under 234 A interest - NIL
under 234 B interest is payable if the advance tax paid is less than 90% of tax payable @ 1% till the date of payment.
Tax liability = 120898
90% of Tax payable = 120898*90% = 108808.20 = 108808
But advance tax paid = 57409
Interest to be paid under 234B = (108808-57409)*1%*3/12 = 51399*1%*3/12 = 128.
Under 234C interest is payable if advance tax paid per quarter is less than advance tax payable per qurater @ 1%
IInd Quarter - {(120898*30%)-12823}*1%*3/12 = 23466*1%*3/12 = 58.616 = 59
IIIrd Quarter - {(120898*60%)-25953}*1%*3/12 = 46586*1%*3/12 = 116
IVth Quarter - {(120898*100%)-57409}*1%*3/12 = 63489*1%*3/12 = 158.72 = 159
Total interest u/s 234C = 59+116+159 = 331
Total Interest u/s 234A,234B,234C = 0+128+331 = 459
Dear Jhon pls say me if i went wrong.
Thank You
CA Anshu Agarwal
(B€ @LW@¥$ ]-[@Pp¥)
(1832 Points)
Replied 13 June 2011
| Originally posted by : naga kiran kumar | ||
|
|
under 234 A interest - NIL under 234 B interest is payable if the advance tax paid is less than 90% of tax payable @ 1% till the date of payment. Tax liability = 120898 90% of Tax payable = 120898*90% = 108808.20 = 108808 But advance tax paid = 57409 Interest to be paid under 234B = (108808-57409)*1%*3/12 = 51399*1%*3/12 = 128. Under 234C interest is payable if advance tax paid per quarter is less than advance tax payable per qurater @ 1% IInd Quarter - {(120898*30%)-12823}*1%*3/12 = 23466*1%*3/12 = 58.616 = 59 IIIrd Quarter - {(120898*60%)-25953}*1%*3/12 = 46586*1%*3/12 = 116 IVth Quarter - {(120898*100%)-57409}*1%*3/12 = 63489*1%*3/12 = 158.72 = 159 Total interest u/s 234C = 59+116+159 = 331 Total Interest u/s 234A,234B,234C = 0+128+331 = 459 Dear Jhon pls say me if i went wrong. Thank You |
|
Dear Naga Kiran Kumar,
you are right except the followings:
1. No interest u/s 234B is payable if 90% of assessed tax payable has been paid as advance tax. however, if advance tax paid is less than 90% of the assessed tax, then the interest u/s 234B is payable on the whole amount of (assessed tax - advance tax).
2. the amount on which interest is to be charged to be rounded off downward in hundreds.
3. The amount of Rs.57409.00 is TDS not advance tax paid.
4. Rate of interest is 1% per month not 1% per anum
Rectify your answer in regard to the above points, then it shall be correct.
CA Devender Chauhan
(Group Financial Accountant)
(1526 Points)
Replied 13 June 2011
Calculation of Anshu Aggarwal is correct.
naga kiran kumar
(Articles Completed)
(78 Points)
Replied 13 June 2011
@ anshu agarwal sir,
then in that case interest u/s 234B must be
= (120898-57409)*1%*3 = 1905
Thank you sir.
john
(LEARNER)
(549 Points)
Replied 24 June 2011
ASHISH SIR I AGREE WITH YOUR ANSWER BELOW, BUT WHEN THE SAME I DO WITH THE INCOME TAX ITR-1 SOFTWARE I AM GETTING A WRONG INTEREST CALCULATION.
AND IF I FILE ITR-1 WITH THE CORRECT CALCULATION BELOW I WILL DEFINATELY FACE A NOTICE.
PLEASE FIND THE ATTACH INCOME TAX ITR-1, SOFTWARE.
however, if it is TDS deducted by other parties then:
|
Interest u/s 234A |
|
|
Nil |
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
interest u/s 234B |
|
|
|
|
|
|
total tax payable |
120,898.00 |
|
|
||
|
TDS |
57,409.00 |
|
|
||
|
|
|
|
|
||
|
total advance tax was to be paid |
63,489.00 |
|
|
||
|
paid |
- |
|
|
||
|
balance |
63,489.00 |
|
|
||
|
amount for interest |
63,400.00 |
|
|
||
|
interest @ 1% p.m. for 3 months |
1,902.00 |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
interest u/s 234C |
|
|
|
||
|
upto date |
payable |
paid |
balance |
amount for interest |
interest |
|
15-Sep |
19046.7 |
12823 |
6223.7 |
6200 |
186 |
|
15-Dec |
38093.4 |
25953 |
12140.4 |
12100 |
363 |
|
15-Mar |
63489 |
57409 |
6080 |
6000 |
60 |
|
|
|
|
609 |
||
|
|
|
|
|
||
|
|
|
|
|
|
|
|
Total Interest |
|
|
|
|
2,511.00 |
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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