ITAT Rules Interest on Statutory Dues May Be Compensatory, But TDS Interest Has No Nexus With Business Profits:
The ITAT Kolkata held that interest on delayed payment of sales tax, service tax, VAT, entry tax and employer's PF contribution is compensatory and allowable under Section 37(1).
ITAT Allows Deduction for Interest on Delayed Sales Tax, Service Tax And Employer PF
Saima
Jul 15, 2026
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ITAT Rules Interest on Statutory Dues May Be Compensatory, But TDS Interest Has No Nexus With Business Profits
The ITAT Kolkata held that interest on delayed payment of sales tax, service tax, VAT, entry tax and employer's PF contribution is compensatory and allowable under Section 37(1).
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Saima
Content Writer
Saima is a Law graduate with a passion for research and content writing. She writes for Finance, Taxation and Legal Updates at Studycafe.in, simplifying complex legal decisions by the ITAT, High Court, AAR and GSTAT into uncomplicated and clear explanations.
Saima is a Law graduate with a passion for research and content writing. She writes for Finance, Taxation and Legal Updates at Studycafe.in, simplifying complex legal decisions by the ITAT, High Court, AAR and GSTAT into uncomplicated and clear explanations.
StudyCafe
Delhi, Delhi, India
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