How to calculate and allocate intrest

Interest on late deduction and late deposit of TDS/TCS is applicable at the rate of 1% and 1.5 % per month respectively.

- Here, 1% rate is applicable from the date on which tax was deductible to the date of actual deduction,
- 1.5% rate is applicable from the due date of deposit to the date of actual deposit.

The due date for depositing TCS is the 7th of next month

Due dates for depositing TDS as under :-

1. For non - government Deductors - 7th of next month (except for the month of March where the due date is 30th of April)

2. For Government Deductors -

a. If paid through challan - 7th of next month

b. If paid through book -entry -Same day i.e. the day on which TDS deducted

To allocate intrest and lete fees please follow the steps provided below:

Login at express tds Go to "Go to Challan View first" →Next → Tds Compution option given on return deshboard.

Now, check the Interest Liability detail for the respective Form Type

Now you have to click on the Interest Liability and select the challan and save it with which you want to allocate interest.

Hope this Helps

# Related Articles

## TDS || How to Calculate Interest

How to calculate interest on late deduction and deposit in e-TDS Software Interest on late deduction and late deposit of TDS/TCS is applicable at the rate of 1% and 1.5 % per month respectively. Interest on Late Deduction: @1% per Month. Interest on ...## ZenIT || Interest under Sections 234A, 234B, and 234C

Interest under Sections 234A, 234B, and 234C Explained! Failed to pay taxes on time? You can pay taxes now, but interest on the delay in payment of taxes is required to be paid. There are three sections governing interest on the delay of payment of ...## Interest Calculation - If challan paid via book entry

Interest Calculation - If challan paid via book-entry TDS Payment Due Date - If paid via book-entry- the same day on which TDS is deducted, When a part or whole amount of TDS is not paid then 1.5% per month interest is subject to TDS/TCS amount ...## Express TDS - FORM 27EQ for TCS RETURN

Express TDS - FORM 27EQ for TCS RETURN Form 27EQ refers to the quarterly statement of TCS that reflects the details of the TDS u/s 206C of the Income Tax Act of 1961. It can also be called as the statement that furnishes the Tax Collected at Source ...## Express TDS- Correction process for TDS return

Express TDS- Correction process for TDS return Process for offline correction for 24Q, 26Q, 27Q & 27EQ from TDS software >> The Correction from TDS software can be processed once you have the Consolidate file (.tds File). Select Respective Deductor , ...