dear Sir,
we have partnership firm under tax audit. If we will file return on 20th dec 2021 and tax also deposit of Rs. 50 lac.
At thay condition we are liable to pa
y interest under section 234A ? for 3 month on 50 lac .
thanks
D.K. Sharma
Yes. The relaxation with respect to Interest u/s 234A which is charged @ 1 per cent per month for every month or part of a month thereof after the original due date of filing ITR of the IT Act is available in case the self assessment tax liability (after providing for TDS, advance tax, etc.) does not exceed Rs 1 lakh.
Accordingly, no relief with respect to Section 234A has been provided where the self assessment tax liability exceeds Rs 1 lakh.
Thus, it becomes important for taxpayers whose self assessment tax liability exceeds Rs 1 lakh to pay the tax dues to file their returns before the original due date to avoid levying of interest u/s 234A,
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