Disallowance of expenses on account of interest on late payment ...

Interest on Late Service Tax Payment Allowed as Deduction by CIT(A): Recognized as Compensatory, Not Penal.

July 17, 2021

Case Laws Income Tax AT

Disallowance of expenses on account of interest on late payment of service tax - CIT(A) deleted the disallowance holding that the interest on late payment of service tax is compensatory in nature - interest paid for late deposit of the service tax is a permissible deduction - AT

View Source

← Previous Next →

Disallowance of expenses on account of interest on late payment ...

Interest on Late Service Tax Payment Allowed as Deduction by CIT(A): Recognized as Compensatory, Not Penal.

July 17, 2021

Case Laws Income Tax AT

You may also like:

Disallowance interest on delayed payment of service tax - It is well settled principle that interest on late payment of Service Tax is not penal in nature. Since, it is...

The assessee claimed deduction for interest and late fees paid on account of delay in filing GST returns. The authorities disallowed the claim, invoking Explanation 1 to...

Interest liability - seeking waiver of interest since the payment of service tax was paid under the amnesty scheme - The tribunal observed that the appellant's payment...

Dispute regarding non-payment/short payment of service tax, tax demand and interest u/ss 73(2) and 75, penalties u/ss 77 and 78 of the Finance Act, 1994, and extended...

Business expenditure - Interest on late payment of TDS - The issue involved is whether the interest paid by the assessee to the government can be termed as compensatory...

Adjustment of excess service tax paid with subsequent service tax liability - case of Revenue is that Rule 6 (3) of Service Tax Rules, 1994 do not provide for such...

The Appellate Tribunal held that liquidated damages/penal interest charged at 2% by the appellant cannot be construed as additional consideration but is a penal interest...

Addition of penal interest paid to Sales-tax Department - the interest amount paid is towards delay in payment of tax, is compensatory in nature - Expense towards...

Recovery of premium dues, interest, default interest, penal interest, interest overdue etc. - priority of charges - The tribunal analyzes the relevant clauses of the...

Interest paid on late payment of TDS - allowable deduction u/s 37(1) or not? - Interest on delayed payment of TDS cannot be allowed as deduction. - The interest...

Disallowance u/s 37 of interest paid on delayed payment of additional Customs Duty was challenged, contending that it was not penal in nature but compensation for delay...

Income Tax: Proposed amendment to increase simple interest rate from 1% to 1.5% per month or part thereof on late payment of tax collected at source (TCS) to government...

CENVAT Credit - input service - non-payment of service tax on Ocean Freight - non-payment of service tax on Government Fees under RCM - The Appellate Tribunal considered...

Levy of Service tax - tolerating an act of electricity consumers - amount of late payment surcharge, meter rent and supervision charges received by the appellant from...

Non payment of service tax - Banking and other financial services - f penal charges arises on account of a separate cause of action which is independent of lending...

Quick Updates: