If not filing tax Audit

Penalty of 0.5 % of turnover subject to maximum of Rs. 150000 if audit is not done on time.

The Form 3CA3CD is applicable when you are liabile to tax audit u/s 44AB of the IT Act.

If you are making profit or incurring loss does not matter for filing ITR or Form 3CD.

After filing ITR you have to mandatorily have to file Form 3CA3CD otherwise you will get a notice from the Department saying that you are liable for tax audit and Form 3CA3CD has not been filed.

Eventhough the assessee is liable for tax audit u/s 44AB of the Act and he does not file Form 3CA3CD after filing the ITR the ITR filed will be treated as not filed.

Accordingly penal proceedings will be applicable. Prosecution u/s 276CC will be applicable here.

The assesse will be punished with an imprisonment which shall not be less than 3 months and which may extend to 7 years and fine also may come.