Interest & Late Fee for Non-Compliance Under Various Acts, Being Compensatory, Are Allowable

Vyoma Technologies Private Limited Vs DCIT (ITAT Bangalore) Interest & Late Fee Levied on Account of Non-Compliance of The Different Provisions Under the Different Act, Which Is Compensatory in Nature and Are Allowable AO during the assessment proceedings found that the assessee has incurred certain expenses, like interest and late fee on account of delay in filing GST return, payment of Professional tax & licence fee, which according to the AO are prohibited under the provisions of law and hence the same were disallowed by invoking the explanation 1 to section 37(1). On appeal CIT(A) ...