Interest on balance tax payable

[CS Kushwaha]

URGENT PLease 

I am salaried person,  When I calculated my tax liability, I found that TDS has short deducted by employers, hence I need to pay the balance tax . Please confirm whether interest is applicable , if yes then what %.

regards

[CAGOPALJI AGRAWAL]

You have to see whether TDS is lower than 90% of the tax liability presuming your total liability is more than 10000/- interest u/s 234B/C would be applied. You can go through the same at the relevant link of this portal.

AI Summary

Interest on underpaid tax arises where TDS coverage is insufficient, triggering statutory interest liability for the balance tax. A salaried taxpayer whose TDS is insufficient must compare TDS credit with total tax liability; if TDS falls below the prescribed coverage proportion and total liability exceeds the relevant threshold, statutory interest on the unpaid balance will be chargeable until payment under the applicable provisions.