Calculate interest on late deduction and deposit of Tax Deducted at Source (TDS) berdasarkan Section 201(1A) Income-tax Act 1961 India: 1% per month for late deduction, 1.5% per month for late deposit. Part of a month counts as a full month.
Section 201(1A)(i): TDS that should have been deducted but was deducted late
Section 201(1A)(ii): TDS already deducted but deposited late to the government. Interest is calculated from the deduction date to the deposit date.
Kedua keterlambatan terjadi berurutan: kaki pertama 1% per month (seharusnya dipotong → dipotong), kaki kedua 1.5% per month (dipotong → disetor).
Calculate combined interest for many payments at once — each row uses three dates (should-have-deducted, deducted
| Label | TDS amount (₹) | Tgl seharusnya dipotong | Tgl dipotong | Tgl disetor | Interest |
|---|
Separate from interest: a penalty of ₹200 per hari for each day of late filing of the quarterly TDS return, dibatasi maksimum capped at the quarterly TDS amount.
(yearend − yearstart) × 12 + (monthend − monthstart) + 1. Part of a month counts as a full month. Example: deducted 30 April, deposited 10 June → 3 months (April, May, June).Section 201(1A) of India's Income-tax Act 1961 requires the tax deductor to pay simple interest for defaults on Tax Deducted at Source (TDS) obligations. There are two scenarios: (i) TDS deducted late — 1% interest per month or part of a month, counted from the date tax should have been deducted
The rate is 1% per month or part of a month (Section 201(1A)(i)). Example: TDS of ₹50,000.00 that should have been deducted on 5 April 2026 but was only deducted on 20 June 2026 — the period touches 3 months (April, May, June), so interest is ₹50,000.00 × 1% × 3 = ₹1,500.00.
The rate is 1.5% per month or part of a month (Section 201(1A)(ii)), counted from the date TDS was deducted. Example: TDS of ₹50,000.00 deducted on 1 April 2026 but deposited only on 20 May 2026 — 2 months (April, May), so interest is ₹50,000.00 × 1.5% × 2 = ₹1,500.00.
Every calendar month touched by the delay period counts as a full month, regardless of days. A commonly used official example: TDS deducted on 30 April but deposited on 10 June — counted as 3 months (April, May, and part of June), not 41 days. On TDS of ₹10,
On the late TDS amount, not the gross payment. For example, if you pay ₹1,000,000.00 to a contractor with 10% TDS (₹100,000.00): late interest is calculated on ₹100,000.00, not ₹1,000,000.00.
Both interests apply sequentially and are summed. Example: TDS of ₹100,000.00 that should have been deducted 10 January 2026, only deducted 5 March 2026, then deposited 20 April 2026. First leg (late deduction): 3 months × 1% = ₹3,000.00. Second leg (late deposit): 2 months (March, April) × 1.5%
No. Interest paid under Section 201(1A) cannot be deducted as a business expense in computing taxable income. This interest also does not create a deferred tax asset.
Both can arise together but target different defaults. Section 201(1A) interest is charged on late deduction/deposit delays (1%/1.5% per month). Section 234E penalty is charged on late filing of quarterly TDS returns: ₹200 per day, capped at the quarterly TDS amount
Interest is paid along with TDS via Challan 281, with the payment nature code matching the original TDS section. Interest should preferably be paid before filing the quarterly TDS return, because a return with unpaid interest risks system rejection.
No. This calculator is specifically for India TDS interest under the Income-tax Act 1961. It is not a US income tax (IRS) calculator, not UK tax (HMRC), and not Indonesian PPh — rates, periods, and rules differ entirely. Results here are educational estimates,