If I pay all taxes before filing, will I still owe Section 234A interest?

If all taxes (self-assessment, TDS, TCS, advance tax) are fully paid before the due date, Section 234A interest normally does not apply. The calculator shows zero interest when net tax due is zero.

Can Section 234A apply together with Sections 234B and 234C?

Yes. Section 234A (late filing interest), 234B (default in advance tax), and 234C (delay in advance tax installments) can apply in the same assessment depending on facts. Each section addresses a different default and interest can be levied under more than one section.

Is this calculator an official government tool?

No. This is an educational estimation tool provided by TaxBizMantra. For legally binding calculations and filing, use the Income Tax Department's official utilities or consult a Chartered Accountant.

Section 234A Interest Calculator

Q: What is Section 234A?

Section 234A of the Income Tax Act imposes simple interest at the rate of 1% per month or part of a month on the net tax payable when an income tax return is filed after the due date specified under Section 139(1).

Q: How is interest under Section 234A calculated?

Interest u/s 234A = (Tax Payable − Taxes Already Paid) × 1% × Number of months of delay. Any part of a month is treated as a full month. The calculator counts months by rounding up total delayed days ÷ 30.

Section 234A Interest Calculator – Estimate Late Filing Interest

If you missed the Income Tax Return (ITR) filing due date, you may be liable to pay interest under Section 234A of the Income Tax Act, 1961. This Section 234A Interest Calculator helps you calculate the interest amount instantly for late filing of income tax returns. You only need to enter four basic details — the due date, your actual filing date, total tax payable, and tax already paid (TDS/TCS/Advance/Self-Assessment). The calculator automatically shows the months delayed and the exact interest amount payable under Section 234A.

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✨ Section 234A Interest Calculator

Estimate interest for **late filing** of your Income Tax Return.

Interest = Net Unpaid Tax × 1% per month × Months Delayed

What Is Section 234A of the Income Tax Act?

Section 234A deals with interest for delay in filing of return of income. When an assessee fails to file the return of income within the prescribed due date under Section 139(1), the law levies interest @ 1% per month or part thereof on the amount of outstanding tax.

The period of delay starts from the day immediately following the due date and continues until the date of filing or date of tax payment, whichever is earlier.

This provision ensures that taxpayers compensate the Government for the delayed payment of tax revenue.

Formula for Interest Calculation

Interest (u/s 234A) = (Tax Payable – Taxes Paid) × 1% × Months of Delay

Even a one-day delay in any month counts as a full month.
Months are counted by rounding up total days of delay ÷ 30.
The rate of interest remains 1% per month (12% p.a.).

Example:
If the due date for filing is 31 July 2025 and the return is filed on 5 November 2025 with unpaid tax of ₹ 12,500, the delay is 4 months.
Interest = 12,500 × 1% × 4 = ₹ 500.

Key Features of the Section 234A Interest Calculator

✅ Quick & Accurate: Auto-computes interest for any Assessment Year.
✅ Simple Interface: Enter basic details and view instant results.
✅ Legally Aligned: Formula based on Section 234A of the Income Tax Act.
✅ Updated for AY 2025-26: Uses current due dates and rates.
✅ Helpful for: Taxpayers, CAs, and consultants calculating ITR late-filing interest.

Difference Between Section 234A, 234B and 234C

Section	Nature of Interest	Trigger Point
234A	Interest for late filing of ITR	Delay beyond due date under 139(1)
234B	Interest for default in payment of advance tax	When advance tax < 90% of total tax
234C	Interest for deferment of advance tax installments	When installment payment delayed or short

Understanding these distinctions ensures accurate interest computation and compliance with income-tax provisions.

How to Avoid Interest Under Section 234A

File your ITR before the due date each year (31 July for most individuals).
Pay any self-assessment tax before submitting your return.
Reconcile Form 26AS / AIS to verify tax credits.
Keep track of extended due dates notified by CBDT.

Timely filing helps you save both interest and penalties while maintaining a clean compliance record.

FAQs – Section 234A Interest

Q1. What is Section 234A of the Income Tax Act?
Section 234A imposes simple interest at 1% per month on unpaid tax when an Income Tax Return is filed after the due date under Section 139(1).

Q2. How is interest under Section 234A calculated?
Interest = (Net Tax Payable – Tax Already Paid) × 1% × No. of Months of Delay (any part month = 1 month).

Q3. Is Section 234A applicable even if the tax is already paid?
No. If all taxes are paid before the due date and only the return is delayed, no interest is charged under Section 234A.

Q4. What is the difference between Section 234A and 234B?
Section 234A covers late filing of return, while Section 234B deals with shortfall in advance tax payment.

Q5. How can I avoid Section 234A interest?
By paying due taxes and filing your ITR before the due date or any extended date announced by CBDT.

Section 234A Interest Calculator tool to compute late filing interest online

Free online Section 234A Interest Calculator to compute 1% monthly interest for late ITR filing in India.

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Disclaimer: This calculator provides an estimate of interest under Section 234A for informational purposes only. Calculations are based on user inputs and a standard formula (1% per month or part month on net unpaid tax). For official or legally binding figures, always verify with the Income Tax Department’s official tools or consult your Chartered Accountant. TaxBizMantra is not responsible for actions taken based on this estimate.