ITR -1 Total Interest u/s 234A Query


I am getting some amount in this section of ITR-1 form while doing Tax computation in the sheet. I has some balance tax that I already paid last week and have keyed in the details on next sheet. Then why should I be levied this interest?

asked Jul 16 '12 at 10:06 by Promod 15710

If tax is not paid by due dates (advance tax schedules, 31st March), interest penalty may arise u/s 234A, 234B and 234C.

answered Jul 18 '12 at 11:02 by Pankaj Batra 5.2k320

Below are more details, just in case if you are curious: Section 234B - For Short / Non-payment of Advance Tax -This is calculated on the balance tax to be paid. Interest of 1% per month applicable from 1st April of the year till the day you are paying. Section 234C - For Deferring the payment of Advance Tax A certain % of advanced tax needs to be paid by 15th September (30%), 15th December (60%) & 15th March (100%) of the Assessment year. For the balance tax you paid above, these are missed. There fore 1% per month again -- for 30% of above balance for 3 months, 60% of above balance for 3 months & 100% of above balance for 1 month. In my view, advanced tax for individuals is crap and should be abolished. All unnecessary and stupid calculations for compliance.
(Jul 22 '12 at 02:16) Phani R

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Asked: Jul 16 '12 at 10:06

Seen: 2,854 times

Last updated: Jul 22 '12 at 09:00