Hi,
Do we need to consider the "Due date" while calculating the interest for TDS?
15 Replies
Pankaj Arora
(Learner)
(3134 Points)
Replied 07 March 2011
TDS on interest should be deduct on receipt basis.
Bijoy
(Working )
(127 Points)
Replied 07 March 2011
| 1 | Interest for not deducting TDS | ||
| Interest | Days From | Days upto | |
| 1 % P.M. or part of month on the amount of such tax | From the date such tax was deductible (ie- At the time of payment was made to the party) | Actual deduction of the tax | |
| 2 | Interest for not depositing TDS befor due date. | ||
| Interest | Days From | Days upto | |
| 1.5 % P.M. or part of month on the amount of such tax | From the date the tax was actually deducted | To the date the tax was actually deposited | |
Kindly let me know the above mentioned is right or wrong
CA. Abhishek K. Pandey
(Manager (Advance))
(901 Points)
Replied 07 March 2011
Yes, you need to consider the due date for the calc. of intt. on TDS
Ramya Kinthali
(Financial Consultant)
(108 Points)
Replied 07 March 2011
as per which section 1.5% interest on TDS not deposited....???
Pankaj Arora
(Learner)
(3134 Points)
Replied 07 March 2011
Interest on TDS not deposit has increase from 1 % to 1.50% from 1st October - 2010
Ramya Kinthali
(Financial Consultant)
(108 Points)
Replied 07 March 2011
i could not find it in amendments for may exam...... can u tell me section number please... i
Pankaj Arora
(Learner)
(3134 Points)
Replied 07 March 2011
Ramya Kinthali
(Financial Consultant)
(108 Points)
Replied 07 March 2011
is it an ammendment made by finance act 2011 by giving retrospective effect to tat provsion........
Ramya Kinthali
(Financial Consultant)
(108 Points)
Replied 07 March 2011
if its an ammendment made by finance act 2011......i hope it should not be considered in may examination.....
Bijoy
(Working )
(127 Points)
Replied 07 March 2011
Dear Friend,
It is an ammendment made by finance act 2010.
Vikash Kharvar
(Dy. Manager -F&A)
(469 Points)
Replied 07 March 2011
Dear Friends,
Interest for late payment of TDS is @ 1% p.m. at the time.
Regards,
Vikash Kharvar
Ramya Kinthali
(Financial Consultant)
(108 Points)
Replied 07 March 2011
@ vishal...
it an ammendment made by finance act 2010
just now i got clearified abt it by referring to the FA 2010 amendments list of institute for may examination
its 1% for late deduction and 1.5% for late deposit of deducted amt....
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