No interest levy despite short deduction of taxes if reasons are bona fide and the shortfall is nominal

Madhya Gujarat Vij Co. Ltd. (ITAT Ahmedabad)- Section 192(3) of the Act enables the employer to make adjustment of any excess or deficiency arising out of previous deduction or failure to deduct during the tax year. If there are bona fide reasons for short deduction in the earlier months and the same is made good immediately after noticing such shortfall, then section 192(3) would save the employer from interest liability for short deduction of taxes. If an employer has casually deducted taxes and resorted to lump sum deduction of tax at the end of tax year, then the employer cannot take shel...