Interest not Leviable from Assessee for Short Payment of Tax due to Payer’s Default in TDS Deduction: ITAT [Read Order]

The tribunal held that the proviso to Section 209(1) issued by the Finance Act, 2012, was applicable prospectively after FY 2012–13; there was no liability for the assessee to pay interest under Section 234B of the Act for the impugned AYs since the entire income was tax deductible at source in the hands of the payer.
ITAT - Short payment of tax due- Payer's default -TDS deduction-TAXSCAN

The Delhi Bench of Income Tax Appellate Tribunal ( ITAT ) has held that interest is not leviable from the assessee for short payment of tax due to payer’s default in  Tax Deduct at Source ( TDS ). It was evident that no interest under Section 234B of the Income Tax Act, 1961 could be…

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