Treatment of processing fees as interest: TDS obligation on payments to non-bank financial institutions, exempt for banks.
Processing fee charged to a borrower for loan-related services is included within the statutory definition of interest as encompassing service fees or other charges in respect of borrowed money. Therefore, a resident payer must deduct TDS on processing fees paid to financial institutions not governed by the Banking Regulation Act; payments to banks are exempt from such withholding under the relevant exemption for banks. (AI Summary)

Input tax credit hinges on vendor payment; provisional ITC may be claimed when invoice appears in recipient's statement.
The text contrasts two positions on claiming input tax credit when GSTR 3B claims exceed GSTR 2A entries: one insists on the vendor's payment of tax as a mandatory prerequisite to ITC; the other argues that practical limitations of the GST portal, possession of original tax invoices, and the provision for provisional self assessed credit under Section 41 justify provisional availment of ITC where invoice details appear in GSTR 2A, subject to supplier filing and other conditions. (AI Summary)