CA Vijay Kumar Walande (Expert) (515 Points)
21 September 2009Dear Friends,
A person has deducted Tax at source but he did not pay it to govt.
Now any how the amount is not deductable u/s 40(a) for not deducting Tax.(TDS).
whether the interest on that TDS is allowed or it is also disallowed . If disallowed then, please give an explanation with relevant section.
thank you.
Max Payne
(employed)
(2574 Points)
Replied 21 September 2009
Interest on TDS is disallowed. It is an accretion to your TDS liability and not an expense.
CAclubindia
