Interest for default in furnishing return of fringe
benefits.
115WK. (1) Where the return of fringe
benefits for any assessment year under sub-section (1) or sub-section (3) of section 115WD or in response to a notice under
sub-section (2) of that section, is furnished after the due date, or is not
furnished, the employer shall be liable to pay simple interest at the rate of
one per cent for every month or part of a month comprised in the period
commencing on the date immediately following the due date, and,—
(a) where the return is furnished after the due
date, ending on the date of furnishing of the return; or
(b) where no return has been furnished, ending on
the date of completion of the assessment under section
115WF,
on the amount of the tax on the value of fringe benefits as
determined under sub-section (1) of section 115WE
or regular assessment as reduced by the advance tax paid under section 115WJ.
Explanation 1.—In this section, “due date”
means the date specified in the Explanation to
sub-section (1) of section 115WD as applicable
in the case of the employer.
Explanation 2.—Where, in relation to an
assessment year, an assessment is made for the first time under section 115WG, the assessment so made shall be
regarded as a regular assessment for the purposes of this section.
(2) The provisions contained in sub-sections (2) to (4) of section 234A shall, so far as may be, apply to this
section.