1[7B. Interest payable by occupier in certain cases.
2[(1) If an occupier fails to submit the return as required by sub-section (1) of section 6 or to pay the amount payable as prescribed as required by sub-section (2) of that section, he shall, in addition to the tax and the penalty, if any, pay simple interest on the amount due at the rate of one and a quarter per cent. for each month from the date immediately following the last day as prescribed till the date the occupier continues to make default in the payment of the amount due.
Explanation.- For the purposes of this sub-section, where an occupier fails to submit the return in due time, the amount of tax assessed under section 7 shall be deemed to be the amount of tax due from the occupier under sub-section (2) of section 6.]
(2) If an occupier fails to pay the amount of tax assessed under 3[******] section 7, or the amount of penalty imposed under section 7A, by the date specified in the notice served upon him by the Commissioner for the purpose, he shall pay simple interest on the amount of tax or penalty due at the rate of 4[one and a quarter per cent.] for each month from the date immediately following the date specified in the notice during the time occupier continues to make default in the payment of the amount due.
(3) The Commissioner or any appellate or revisional authority may, for reasons to be recorded, remit the whole or any part of interest payable by any occupier in respect of any period.].
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- Section 7B was inserted by Mah. Act No. 34 of 1976
- This sub-section (1) substituted by Mah. Act No.15 of 2011 dated 21.11.2011. Prior to substituted sub-section (1) read as:
“(1) If an occupier fails to submit the return as required by sub-section (1) of section 6 or to pay the full amount of tax as required by sub-section (2) of that section, he shall, in addition to the tax and the penalty (if any), pay simple interest on the amount due at the rate of *[one and quarter per cent.], of the amount for each month from the date immediately following the last day for submission of the return under sub-section (1) of section 6 during the time the occupier continues to make default in the payment of the amount due.
Explanation.- For the purposes of this sub-section, where an occupier fails to submit the return in due time, the amount of tax assessed under **[sub-section (4)] of section 7 shall be deemed to be the amount of tax due from the occupier under sub-section (2) of section 6.”
* These words were substituted for the words “one and one half per cent.” by Mah. Act No. 13 of 2004 dt.29.6.2004 w.e.f.1.7.2004.
** These words, bracket and figure substituted for the words, bracket and figure “sub-section (2)” by Mah. Act No. 13 of 2004 dt.29.6.2004 w.e.f.1.7.2004.
- These words were deleted by Mah. Act No.15 of 2011 dated 21.4.2011.
- These words were substituted for the words “one and one half per cent.” by Mah. Act No. 13 of 2004 dt.29.6.2004 w.e.f.1.7.2004.