When tax payable and when assessee deemed in default [ Section 220 ]

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....y, with the previous approval of the Joint Commissioner, direct that the sum specified in the notice of demand shall be paid within such period being a period less than the period of thirty days aforesaid, as may be specified by him in the notice of demand. [ First Proviso of section 220(1) ] (1A) Where any notice of demand has been served upon an assessee and any appeal or other proceeding, as the case may be, is filed or initiated in respect of the amount specified in the said notice of demand, then, such demand shall be deemed to be valid till the disposal of the appeal by the last appellate authority or disposal of the proceedings, as the case may be, and any such notice of demand shall have the effect as specified in secti....

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....f demand, referred to in section 220(1) and ending with the day on which the amount is paid. [ Second Proviso ] • In respect of any period commencing on or before the 31st day of March, 1989 and ending after that date, • such interest shall, in respect of so much of such period as falls after that date, be calculated at the rate of 1.5%, for every month or part of a month. [ Third Proviso ] • Exclusion of Interest on Penalty Demands on Assessment or Reassessment under section 143 or 147 ( Fourth Proviso) [ Inserted vide section 14 of the Finance Act, 2026 w.e.f. 01.04.2027 ] • no interest shall be charged under this sub-section in respect of any demand raised on account....

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....intimation issued under section 200A(1) or 206CB(1) for any period, then, no interest shall be charged under section 220(2) on the same amount for the same period. [ Section 220(2B) and Section 220(2C)  ] Reduction or waiver of interest  [ Section 220(2A) ] • Notwithstanding anything contained in section 220(2), the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner may reduce or waive the amount of interest paid or payable by an assessee under the said sub-section if he is satisfied that- • (i) payment of such amount has caused or would cause genuine hardship to the assessee ; • (ii) default in the paym....

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....xtension of Time for Payment or Instalment Option for Assessees Under Section 220(1) • Without prejudice to the provisions contained in section 220(2), on an application made by the assessee before the expiry of the due date under section 220(1), the Assessing Officer may extend the time for payment or allow payment by instalments, subject to such conditions as he may think fit to impose in the circumstances of the case. [ Section 220(3) ] • If the amount is not paid within the time limited under section 220(1) or extended under section 220(3), as the case may be, at the place and to the person mentioned in the said notice the assessee shall be deemed to be in default. [ Section 220(4) ] • If....