Interest & late-fee calculator.
234A · 234B · 234C · GST · TDS.
Statutory interest and late fees, computed step by step with the formula shown — income-tax interest under 234A/234B/234C, GST interest under CGST s.50, GST late fees under s.47, TDS interest under 201(1A), and the 234E filing fee. Every rule carries its 1961-Act citation and its Income-tax Act, 2025 equivalent.
These are estimates on the statutory formula, not tax advice. CBDT due-date extensions, department orders, portal-computed figures, s.234B(2) mid-way payments, the s.234C income-driven carve-outs, GST amnesty notifications and other edge cases all change outcomes. The figures the department or the GST portal computes prevail over anything shown here. Verify against the bare Act and the notifications cited beside each result, and take advice on your own facts before paying or contesting a demand. Nothing on this page creates an adviser–client relationship. Last reviewed: 2026-08-19.
- No interest if A (net unpaid tax) is nil or negative — refund cases attract no 234A
- Self-assessment tax paid before the due date is excluded from A for the period after its payment
- CBDT due-date extensions shift the start date (e.g. FY 2024-25 non-audit returns: 234A ran only after the extended 16-Sep-2025 date (15-Sep was further extended by one day))
The seven levies, side by side.
| Levy | Rate | Period basis | 1961-Act / GST citation | 2025-Act / current |
|---|---|---|---|---|
| Interest for default in furnishing return of income | 1%/month or part | Month or part (Rule 119A) — due date → filing | s.234A, IT Act 1961 | s.423, IT Act 2025 |
| Interest for default in payment of advance tax | 1%/month or part | Month or part — 1 April of AY onwards | s.234B, IT Act 1961 | s.424, IT Act 2025 |
| Interest for deferment of advance-tax instalments | 1%/month | Fixed 3 / 3 / 3 / 1 months on each shortfall | s.234C, IT Act 1961 | s.425, IT Act 2025 |
| GST interest on delayed payment of tax / wrongly utilised ITC | 18% p.a. | Per day × days ÷ 365 (Rule 88B) | CGST s.50 + Notif. 13/2017, 16/2021, 09/2022 | Unchanged — GST untouched by IT Act 2025 |
| GST late fee for GSTR-3B and GSTR-1 | ₹50/day (₹20 NIL) | Per calendar day, capped per return | CGST s.47 + Notif. 19/2021 & 20/2021 | Unchanged |
| Interest on late deduction / late deposit of TDS | 1% / 1.5% per month or part | Deductible→deduction @1%; deduction→deposit @1.5% | s.201(1A), IT Act 1961 | s.398, IT Act 2025 |
| Fee for late filing of TDS/TCS statements | ₹200/day | Per calendar day, capped at TDS in statement | s.234E, IT Act 1961 | s.427, IT Act 2025 |
The 2025-Act section numbers take effect for tax year 2026-27 (from 1 April 2026); the mechanics — rates, period bases, tolerances and caps — carry over unchanged. Rule 119A rounding (part-month up to a full month, interest base down to the nearest ₹100) applies to the income-tax interest provisions only, never to GST.
Frequently asked
What is the difference between sections 234A, 234B and 234C?
All three charge 1% simple interest per month, but for different defaults. 234A is for filing the return late — it runs on the net unpaid tax from the day after the due date to the filing date. 234B is for underpaying advance tax in aggregate — it applies only if advance tax plus TDS/TCS fell short of 90% of assessed tax, and runs from 1 April of the assessment year. 234C is for deferring the quarterly instalments — fixed 3-month interest on the shortfall of each of the first three instalments and 1 month on the 15-March shortfall, regardless of actual delay. They can all apply on the same return at once.
How is a 'month or part of a month' counted under Rule 119A?
Any fraction of a month counts as a full month — one day into a new month adds a whole month of interest. Rule 119A also rounds the interest base down to the nearest multiple of ₹100 before applying the rate. This month-rounding applies to income-tax interest (234A, 234B, 201(1A)); it does not apply to GST, where s.50 interest is computed day-wise, or to the per-day GST late fee and 234E fee.
Is GST interest also charged per month?
No. GST interest under CGST s.50 is computed per day on a per-annum basis under Rule 88B: amount × 18% × days ÷ 365. And for a belated self-assessed return, the net-cash rule means interest runs only on the portion of tax paid through the electronic cash ledger — the part settled by input tax credit attracts no interest, unless the return was filed after s.73/74/74A proceedings commenced.
When does the 24% GST interest rate apply?
In practice, never — after the Finance Act 2022 substitution, 24% survives only as the statutory ceiling in s.50(3). The notified rate for wrongly availed and utilised ITC is 18%, applied retrospectively from 1 July 2017 by Notification 09/2022-Central Tax. And s.50(3) interest arises only if the wrongly availed credit was actually utilised — mere availment, with the credit-ledger balance never dipping below the wrongly availed amount, attracts no interest at all.
Why does depositing TDS one day late cost 3% interest?
Because the 1.5%-per-month clock under s.201(1A) runs from the date of deduction, not from the deposit due date, and any part of a month counts as a full month. Deduct on 21 May, miss the 7 June due date and pay on 8 June: the period 21 May to 8 June touches two calendar months, so the interest is 1.5% × 2 = 3% of the TDS amount — for one day's delay past the due date.
Can the ₹200-per-day fee under section 234E be waived?
No. 234E is a fee, not a penalty — it is mandatory, there is no discretion to waive it, and it must be deposited before the TDS/TCS statement can be filed. Its only ceiling is the amount of TDS/TCS reported in that statement, so a nil-deduction statement attracts no fee. The separate penalty under s.271H (₹10,000 to ₹1,00,000, for defaults beyond one year or incorrect statements) is on top and is not something a calculator can compute.
What are the GST late-fee caps for GSTR-3B and GSTR-1?
Per return (CGST + SGST together), from the June-2021 tax period onward under Notifications 19/2021 and 20/2021-Central Tax: ₹500 for a NIL return; ₹2,000 where aggregate turnover in the preceding financial year was up to ₹1.5 crore; ₹5,000 for turnover above ₹1.5 crore and up to ₹5 crore; and ₹10,000 (the un-reduced statutory cap) above ₹5 crore. The per-day rate is ₹50 for a normal return and ₹20 for a NIL return. There is no late fee under the IGST Act.
Do these section numbers change under the Income-tax Act, 2025?
Yes, from tax year 2026-27: 234A becomes s.423, 234B becomes s.424, 234C becomes s.425, 201(1A) is consolidated into s.398 (together with the TCS mirror, old s.206C(7)), and 234E becomes s.427. The rates and mechanics carry over unchanged. GST is untouched by the Income-tax Act, 2025 — CGST s.47 and s.50 continue as they are.
Last reviewed: 2026-08-19.