Interest on Delayed Payment of VAT and TDS allowable

ITO Vs M/s. Lakshdweep Development Corporation Limited (ITAT Cochin)

Interest on delayed payment of VAT and TDS is only compensatory and is not penal in nature. Therefore, the CIT(A) has correctly deleted the disallowance made for the interest expenditure claimed on delayed payment of VAT and TDS.

FULL TEXT OF THE ITAT JUDGMENT

Please become a Premium member. If you are already a Premium member, login here to access the full content.