Interest u/s 201(1A) a) 1% per month for non-deduction b) 1.5% per month for late payment after deduction
Additional Penalty: Penalties may also apply under Section 271C for failure to deduct or deposit TDS as required.
Prosecution: In severe cases, failure to comply may lead to imprisonment ranging from 3 months to 7 years under Section 276B. Timely TDS return filing services can help businesses avoid such legal consequences.