Interest u/s 244A Allowable on TDS Refunds on Appeal Orders


Interest u/s 244A is generally not allowed by income tax department on excess TDS withhold by an assessee as per the order of assessing officer  which becomes refundable as per order or CIT(Appeals ) or Tribunal or Court orders. The reason for non allowance of any interest u/s 244A on refund of excess TDS  is CBDT Circular No. 769 dated 6.8.98 and Circular no. 790 dated . These circulars provided that the assessee shall be entitled to refund of excess TDS payments made u/s 195, but since the  amount paid-into the Government account in such cases is no longer tax  interest u/s 244A is not admissible on refunds to be granted in accordance with these Circulars.

This content is for annual members only.

Log In Register