Penalty under 271 (1)(c)

Q & A Forum › Category: Tax Planning › Penalty under 271 (1)(c)

lilaisgr8 asked 10 years ago

Hi, I am salary person. In one of financial year I have loss in stock market so I didn't mention about loss while filing income tax return. Income tax department issue notice and they verify all document and settle it for "NIL" extra tax I have to pay but they would like to put a penalty under 271 (1)(c),

can I know how much penalty they can put ?

2. How to reply back for notice under 271 (1)(c)

Thanks.

1 Answers

0 Vote Up Vote Down

Sreekanth Staff answered 10 years ago

Hi, If the tax liability is NIL then AO can decide on the extent of Penalty (if any) during the Proceedings only. Kindly approach your AO. Suggest you to kindly first consult a CA and take help to respond to this notice.

lilaisgr8 replied 10 years ago

Thanks for reply. I would like to know what extent of penlty AO can decide. I have not declared 2 lakhs rupee loss in income tax return.