Interest under Sections 234A/234B/234C
Definition
Interest charged under India's income-tax law for late filing of the return (234A), shortfall in payment of advance tax (234B), and deferment of advance-tax instalments (234C). Each is computed differently on the shortfall.
Related Terms in India GST
Professional Tax
A state-level tax on income from employment, trade or profession levied by several Indian states, usually deducted by employers from salary and deposited with the state. Rates and slabs vary by state.
TAN Application
The process of obtaining a Tax Deduction and Collection Account Number, which any person deducting or collecting tax at source in India must hold before depositing TDS or TCS and filing the related returns.
Form 15G / 15H
Self-declarations an Indian resident can give to a deductor (such as a bank) to request no TDS on interest when their total income is below the taxable limit. Form 15H is for senior citizens and 15G for others who qualify.
Lower Deduction Certificate (Section 197)
A certificate the Indian tax authority issues allowing a payee's income to suffer TDS at a lower rate or nil, where their estimated tax liability justifies it. The deductor applies the certificate rate for the period it covers.
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