PENALTIES OF INCOME TAX IN TABULAR FORM [AY 2014-15 & AY 2015-16]
| Section | Nature of default | Penalty leviable |
| 1 | 2 | 3 |
| 140A(3) | Failure to pay wholly or partly—
(a) self-assessment tax/fringe benefit tax, or (b) interest, or (c) both under section 140A(1) |
Such amount as Assessing Officer may impose but not exceeding tax in arrears
|
| 158BFA(2) | Determination of undisclosed income of
block period |
Minimum : 100 per cent of tax leviable in respect of undisclosed income
Maximum: 300 per cent of tax leviable in respect of undisclosed income. |
| 221(1) | Default in making payment of tax | Such amount as Assessing Officer may impose but not exceeding amount of tax in arrears. |
| 234E | Failure to file statement within time
prescribed in section 200(3) or in proviso to section 206C(3) |
Rs. 200 for every day during which failure continues but not exceeding tax deductible/collectible. |
| 271(1)(b) | Failure to comply with a notice under
section 115WD(2)/115WE(2)/142(1) or section 143(2) or failure to comply with a direction under section 142(2A) |
Fixed at Rs. 10,000 for each failure |
| 271(1)(c) | Concealment of particulars of income or
fringe benefits or furnishing of inaccurate particulars of income or fringe benefits |
Minimum : 100 per cent
Maximum : 300 per cent of tax sought to be evaded in addition to tax payable |
| 271(4) | Distribution of profits by registered firm
otherwise than in accordance with partnership deed and as a result of which partner has returned income below the real income |
Not exceeding 150 per cent of difference between tax on partner’s income assessed and tax on income returned, in addition to tax payable. |
| 271A | Failure to keep, maintain, or retain books
of account, documents, etc., as required under section 44AA |
Rs. 25,000 |
| 271AA | (1) Failure to keep and maintain
information and documents required by section 92D(1) or 92D(2) (2) Failure to report such transaction (3) Maintaining or furnishing incorrect information or document |
2% of value of each international transaction/or specified domestic transaction entered into. |
| 271AAA | Where search has been initiated before
1-7-2012 and undisclosed income found |
10% of undisclosed income |
| 271AAB | Where search has been initiated on or
after 1-7-2012 and undisclosed income found |
(a) 10% of undisclosed income of the specified previous year if assessee admits the undisclosed income; substantiates the manner in which it was derived; and on or before the specified date pays the tax, together with interest thereon and furnishes the
return of income for the specified previous year declaring such undisclosed income (b) 20% of undisclosed income of the specified previous year if assessee does not admit the undisclosed income, and on or before the specified date declare such income in the return of income furnished for the specified previous year and pays the tax, together with interest thereon; (c) Minimum 30% and maximum 90% of undisclosed income of the specified previous year if it is not covered by (a) or (b) above |
| 271B | Failure to get accounts audited or furnish
a report of audit as required under section 44AB |
One-half per cent of total sales, turnover or gross receipts, etc., or Rs. 1,50,000, which-ever is less |
| 271BA | Failure to furnish a report from an
accountant as required by section 92E |
Rs. 1,00,000 |
| 271BB | Failure to subscribe any amount to units
issued under scheme referred to in section 88A(1) |
20 per cent of such amount |
| 271C | Failure to deduct tax at source, wholly or
partly, under sections 192 to 196D (Chapter XVII-B) or failure to pay wholly or partly tax u/s 115-O(2) or second proviso to section 194B |
Amount equal to tax not deducted or paid |
| 271CA | Failure to collect tax at source as required under Chapter XVII-BB | Amount equal to tax not collected |
| 271D | Taking or accepting certain loans and
deposits in contravention of provisions of section 269SS |
Amount equal to loan or deposit taken or accepted |
| 271E | Repaying any loan or deposit specified in
section 269T in contravention of its provisions |
Amount equal to loan or deposit repaid |
| 271F | Failure to furnish return as required by
section 139(1) or by its provisos before the end of the relevant assessment year |
Rs. 5,000 |
| 271FA(See Note1) | Failure to furnish an annual information
return as required under section 285BA(1) (see Note 2) Failure to furnish annual information return within the period specified in notice u/s 285BA |
Rs. 100 per day of default
Rs. 500 per day of default |
| 271FB | Failure by an employer to furnish the
return of fringe benefits as required under section 115WD(1) |
Rs. 100 for every day of default |
| 271G (See note3) | Failure to furnish any information or
document as required by section 92D(3) |
2% of the value of the international
transaction/specified domestic transaction for each failure |
| 271H (See note 4) | Failure to deliver/cause to be delivered a
statement within the time prescribed in section 200(3) or the proviso to section 206C(3), or furnishes incorrect information in the statement |
W.e.f. 1-10-2014 Assessing Officer may direct payment of penalty. Penalty shall not be less than Rs.10,000 but may extend to Rs.1,00,000 |
| 272A(1) | Refusal or failure to :
(a) answer questions (b) sign statement (c) attend to give evidence or produce books of account, etc., in compliance with summons under section 131(1) |
Rs. 10,000 for each failure/default |
| 272A(2) | Failure to :
(a) furnish requisite information in respect of securities as required under section 94(6) (b) give notice of discontinuance of business or profession as required under section 176(3) (c) furnish in due time returns, statements or certificates, deliver de-claration, allow inspection, etc., under sections 133, 134, 139(4A), 139(4C), 192(2C), 197A, 203, 206, 206C, 206C(1A) and 285B; (d) deduct and pay tax under section 226(2) (e) file a copy of the prescribed statement within the time specified in section 200(3) or the proviso to section 206C(3) (up to 1-7-2012) (f) file the prescribed statement within the time specified in section 206A(1) |
Rs. 10,000 for each failure/default. (In respect of penalty for failure, in relation to a declaration mentioned in section 197A, a certificate as required
by section 203 and returns u/ss 206 and 206C and statements under section 200(3) or proviso to section 206C(3), penalty shall not exceed amount of tax deductible or collectible) |
| 272AA(1) | Failure to comply with section 133B | Not exceeding Rs. 1,000 |
| 272B | Failure to comply with provisions of
section 139A/139A(5)(c)/(5A)/(5C) |
Rs. 10,000 |
| 272BB(1) | Failure to comply with section 203A | Rs. 10,000 for each failure/default |
| 272BB(1A) | Quoting false tax deduction account
number/tax collection account number/tax deduction and collection account number in challans/certificates/statements/documents referred to in section 203A(2) |
Rs. 10,000 |
Note : No penalty is imposable for any failure under sections 271(1)(b), 271A, 271AA, 271B, 271BA, 271C,
271CA, 271D, 271E, 271F, 271FA, 271FB, 271G, 271H, 272A(1)(c) or (d), 272A(2), 272AA(1), 272B, 272BB(1), 272BB(1A) and 272BBB if the person or assessee proves that there was reasonable cause for such failure (section 273B).
Section 273AA provides that a person may make application to the Principal Commissioner/Commissioner for granting immunity from penalty, if (a) he has made an application for settlement under section 245C and the proceedings for settlement have abated; and (b) penalty proceeding have been initiated under this Act. The application shall not be made after the imposition of penalty after abatement.
- With effect from assessment year 2015-16 “annual information return” has been changed to “statement of financial transaction or reportable account” and word “return” has been changed to “statement”.
- With effect from assessment year 2015-16 a new section 271FAA has been inserted to provide for a penalty of Rs. 50,000 for furnishing inaccurate statement of financial transaction or reportable account in certain cases.
- With effect from 1-10-2014 TPO can also levy penalty.
- Section 271H as amended with effect from 1-10-2014 provides that penalty shall be levied by Assessing Officer.