General penalties under income tax act 1961

General Penalties under Income Tax Act 1961

Default

Penalty

Section

Non Payment

• Tax Payments including Self Assessment Tax

Upto tax in arrear

221(1)

Failure to Comply

• With Notice U/S 143(2)

Rs. 10,000 for each failure

271(1)(b)

• Failure to answer questions or sign statements

Rs. 10,000 for each failure

272A(1)

Concealment

• Concealment of income or inaccurate

100 to 300% of tax sought to

271(1)(c)

particulars

be evaded

• Undisclosed income during search in

10% of undisclosed income

271AAA

proceeding and current FY in which search

took place

Books, Audit, Loans

• Failure to keep, retain books U/S 44AA

Rs. 25000

271A

• Failure to get books audited U/S 44AB

0.5% of gross sales Maximum

271B

Rs 1.50 Lac

• Taking loan in contravention of Sec 269SS

Equal to amount of loan taken

271D

• Repayment of loan in contravention of

Equal to amount of loan repaid

271E

Sec 269T

• Failure to furnish return u/s 139(1) before

Rs. 5000

271F

end of AY

TDS

• Failure to deduct in part or full

Equal to tax not deducted

271C

• Failure to collect tax in part or full

Equal to tax not collected

271CA

• Quoting false TAN in challan / statements

Rs. 10000

272BB(1A)

• Failure to apply for TAN

Rs. 10000

272BB(1)

• Failure to furnish eTDS statement

Rs. 10000 to 1 lac

271 H

• Failure to furnish TDS Certificate

Rs. 100 per day . Limited to

272A(2) (g)

amount of TDS

. Failure to file TDS return

Rs 200 per day  Limited to amount of

TDS

234E