Non filing of company return

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If a private limited company's income tax return for FY 2021-22 wasn't filed, even if it's loss-making and not tax audit liable, there are consequences. Specifically, the loss cannot be carried forward. However, a condonation application can be filed online under section 119(2)(b) to address this. The auditor generally faces no liability for non-filing due to unpaid fees.

DIVYESH JAIN

DIVYESH JAIN (Querist)

11 January 2023 Dear Sir,

What are the consequences if the auditor does not file income tax return of a Pvt Ltd company for fy 2021-22 which is not liable for tax audit.

The return was not filed as the director of the company didn't pay him the past year's audit fees. It is a loss making company.

Please advise.

Regards,
Divyesh Jain

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

12 January 2023 The loss can't be carried forward.
But condonation application can be filed online under section 119(2)(b) in view loss carried forward.
After condonation approval file ITR.

DIVYESH JAIN

DIVYESH JAIN (Querist)

12 January 2023 But will there be any liability for the auditor for not filing the return.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

12 January 2023 No liability on the auditor due to non payment of fees.

DIVYESH JAIN

DIVYESH JAIN (Querist)

12 January 2023 Thank you Sir......

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

12 January 2023 You are welcome......