Penalty Under Various Section of Income Tax As Per Union Budget 2015-16
| Section of the ITA | Kind of default | Penalty that can be levied |
| 140A (3) | If one fails to pay in part or whole ofHis self assessment tax/ fringe benefit tax, orInterest, orBoth under section 140A (1) | Assessing officer can impose penalty that he deems fit but not in excess of arrear taxes |
| 158BFA (2) | If undisclosed income is determined in a bock period | Minimum 100% and maximum 300% of the tax that can be levied can be imposed |
| 221 (1) | Defaulting tax payment | Assessing officer can decide penalty that does not exceed the amount recoverable in tax arrears |
| 234E | Not filing statement inside the time limit provided under sections 200 (3) or section 206C (3) | 200 Rupees per day for nonpayment though penalty should not exceed total tax recoverable |
| 271 (1) b | If one fails to comply with notice sent under sections 115WD (2), 115WE (2), 142 (1), 143 (2) or 142 (2A) | Penalty of Rs. 10000 for every noncompliance |
| 271 (1) (c) | Hiding income particulars/ fringe benefits or providing inaccurate details of income and fringe benefits | A minimum of 100% and a maximum of 300% of the tax evaded through concealment along with tax that can be levied |
| 271 (4) | Appropriating profits among partners in a registered firm in contravention with the partnership deed to show income less than actual | Penalty as deemed fit by the assessing officer but not more than 150% of the tax calculated by the individual and that assessed by the officer |
| 271A | If one fails to maintain documents and books as required by income tax officials under section 44AA | Fine of Rs. 25000 |
| 271AA | If one fails to maintain documents and information as required under sections 92D (1) or 92D (2), orFails to give details of such transaction, orMaintains and provides false information of this transaction
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A penalty of 2% of the transaction whether international or domestic that is specified under the act |
| 271AAA | If undisclosed income has been unearthed in a case started before 1 August 2012 | A penalty of 10% of the income that has been undisclosed |
| 271AAB | If undisclosed income has been unearthed in a case started on or after 1 August 2012 |
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| 271B | If audit is not carried out or details of audit are not provided as required by income tax department under section 44AB | A penalty of ½% of sales, gross receipts, or turnover or Rs. 150000 will be levied (lesser of the two) |
| 271BA | If accountant report as required under section 92E is not furnished | A penalty of Rs. 100000 |
| 271BB | If assessee is issued units under section 88A (1) and he does not subscribe to them | A penalty of 20% of the total amount of such units |
| 271C | If assessee does not deduct tax at source either in full or in part as required under sections 192 to 196D (Chapter XVII-B) or nonpayment in part or full of tax under section 115-O (2) or II provision of section 194B | A penalty that equals unpaid tax or tax that has not been deducted |
| 271CA | If one does not collect tax at source as specified under Chapter XVII-BB | Penalty that equals the amount of tax that remains uncollected |
| 271D | If one accepts deposits or loans that are against provisions of section 269SS | Penalty equals the amount of deposit or loan |
| 271E | If one repays deposits or loans in contravention to the provisions of section 269T | Penalty equals the amount of de[posit or loan that has been repaid |
| 271F | If one fails to furnish his returns under the provisions of section 139(1) before assessment year ends | Penalty of Rs. 5000 is imposed |
| 271FA | If one fails to provide annual returns under section 285BA (1) | A penalty of Rs. 100 every day during the period of default is levied |
| If one fails to provide annual returns inside the time limit mentioned in the notice sent under section 285BA (5) | Penalty of Rs. 500 per day for the period of default | |
| 271FB | If an employer fails to provide details of fringe benefits provided by him under section 115WD (1) | Penalty of Rs. 100 per day during the period of default |
| 271G | If one fails to provide documents or information required under section 92D (3) | Penalty that equals 2% of the amount of transaction whether it is international or specified domestic one |
| 271H | If one fails to deliver information within time limit specified under section 200 (3) or section 206 (3) or provides inaccurate details | A penalty of Rs. 10000 to Rs. 100000can be imposed by the assessing officer w.e.f 1/10/2014 |
| 272A (1) | If one does not
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A penalty of Rs. 10000 for every refusal or failure |
| 272A (2) | If one fails toProvide information about securities under section 94 (6)OrDoes not give notice about closing business under section 176 (3)
Or Furnish returns, certificates, and statements and allow examination under various sections like 133, 134, 139 (4C), 192 (2C), 197A, 203, 206, 206C, 206C (1A), and 258B Or Deducts and pays taxes under section 226 (2) Or Produce statement copies within the time limit under sections 200 (3) or the provisions of section 206C (3) up to 1 August 2012 |
A penalty of INR 10000 for every failure or default. (If the penalty has been imposed because of failure, it cannot be more than the amount of tax recoverable) |
| 272AA (1) | If one fails to comply with provisions of section 133B | A penalty that is not more than Rs. 1000 |
| 272B | If one does not comply with the provisions of sections 139A/139A (5) (c)/ (5A)/ (5C) | Rs. 10000 |
| 272BB (1) | If one fails to comply with provisions of section 203A | A penalty of Rs. 10000 for every failure or default |
| 272BB (1A) | If one quotes false
When filling challan, certificates, and statements, or other documents as specified under section 203A (2) |
A penalty of Rs. 10000 |
Sections 271 (1) (b), 271A, 271AA, 271B, 271BA, 271C, 271CA, 271D, 271E, 271F, 271FA, 271FB, 21G, 271H, 272 (1) (c), 272A (2), 272AA (1), 272BB (1), 272BB (1A), and 272BBB carry no penalty for failure. However, the assessee has to satisfy the assessing officer that there was sufficient reason for a failure (section 273B). If the assessee requires immunity from penalty, he has to make an application to the Income Tax Commissioner under section 273AA. If he needs settlement of penalty, he has to write an application under section 245C. However, you cannot write application once penalty has been imposed.
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