Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Interest on TDS Late payment

L KANAGARAJ (Assistant Manager-Finance) (615 Points)

07 January 2009

Sirs,

Please guide me regarding

If we accounted the Bill On 20.11.08, that bill contains TDS amount Rs. 12,024/-.

The actual TDS payment date is 07.12.08, but we made mistake and not paid on due date.

If we pay that amount on 07.01.09 what is the interest amount to pay and what is the current rate of interest.

Further , from which date the interest has to be calculate?

Reply
Follow
Share

12 Replies

AkKi G (Chartered Accountant) (35 Points)
Replied 07 January 2009

Dear Friend,

In this case interest on TDS amount will be 1% p.m. and you have to pay the interest for 1 month only in this case.

Upgrade to CAclubindia Pro. Subscribe Now!

Indrajit Mondal (Service) (142 Points)
Replied 07 January 2009

Dear

rate of interst is 1% per month for late payment of TDS.

in your case 7th Dec,08 is the due date but you deposite TDS on 7th Jan,09

total TDS along with interest will be Rs.12,264/-

interst amount is Rs. 240/- (12,024*2%)

INDRA

1 Like

(Guest)

You will have to calculate interest from the due dat till the date of payment.

The rate of interest is 1% p.m.

The interest in your case will be 12024*.01=120.24/-

CA Surajit Kashyapi (Chartered Accountant) (112 Points)
Replied 07 January 2009

Interest will be charged for one month. Due date was 7th Dec. But TDS deposited on 7th Jan.... So late for 1 month only.

Interest will be Rs12024.00 X 1%= Rs 120.24/-

Nikhil Kumar (CA , Qualified CPA) (910 Points)
Replied 07 January 2009

but the act says that the interest is to be calculated from the date the TDS was deductible to the actual date of deposit

the rate is 12%p.a. or 1% per month

Upgrade to CAclubindia Pro. Subscribe Now!

shilpa (accountant) (22 Points)
Replied 06 August 2009

is this interest rate applicable for all TDS payments

L KANAGARAJ (Assistant Manager-Finance) (615 Points)
Replied 06 August 2009

Interest applicable to all tds late payment not regular payment.

Arvind Pathak (Accountant) (22 Points)
Replied 05 October 2009

hw is calculate TDS Late payment interest

Rachit (Delhi) (30 Points)
Replied 24 December 2009

what are the provisions & rate of interest on late deposit of TDS on salary?

Aditya Maheshwari (CA in Practice) (35867 Points)
Replied 24 December 2009

Interest payable 1% p. m.

Upgrade to CAclubindia Pro. Subscribe Now!

RITESH KOTHARI (B.COM, FCA, DISA(ICAI)) (778 Points)
Replied 25 December 2009

Interest on late payment is @ 1% p.m. or part thereof.

manoj khare (Deputy Manager ) (21 Points)
Replied 09 July 2011

Sir,

I have deucted tds on salary for the m/o April 2011 on 30.04.2011 but same has been deposited on 04.07.2011 without interest. any interest clause will be attracted on the same . if yes, please advise me for rate of interest & for what period i vave to calculate.