Description:
Leviability of section 234B – Interest where no TDS
by Payer – Inspite of liability Regarding
Arundhati Kulshreshtha
A question arises as to whether interest under section 234B will be payable where the payer fails to deduct tax at source. The judiciary has so far opined that in such cases no interest will be leviable under section 234B.
Source:
1. www.tpcc.in.
2. The Tax Reference .Volume120. Issue No.2, 11 July 2011 Page No.32.
Our Comment:
The assessee cannot be directed to pay Interest U/s 234B where the payer has not made TDS though he is liable.
