Income Tax Officer

Ward –

Name of City




Sub: Dropping of Penalty proceedings u/s 271(1)(c) of the Income Tax Act,1961


Ref : Name of Assessee


       Assessment Year 


 With reference to the above subject we request you, not to impose penalty proceedings as it was an error of omission.

 The Assessee has not offered Type of income of Rs........ /- in his return of Income due to omission since Reason Like: Return of Income has been filed directly through office.

 We request you to drop the penalty proceedings against him u/s 271(1)(c) of the Income Tax Act, 1961 as there was no malafide intention to conceal the income.


Thanking You


Yours faithfully,

Firm Name(who having Power of Attorney)

Chartered Accountants



Name of CA


Posted 3 years, 8 months ago by SANJAY KUMAR GANNA

What is Section 271 (1)(c) of Income Tax Act?

[Failure to furnish returns, comply with notices, concealment of income, etc.

271. (1) If the [Assessing] Officer or the [Commissioner (Appeals)] [or the Commissioner] in the course of any proceedings under this Act, is satisfied that any person—

            (b)   has  failed to comply with a notice [under sub-section (2) of section 115WD or under sub-section (2) of section 115WE or] under sub-section (1) of section 142 or sub-section (2) of section 143[or fails to comply with a direction issued under sub-section (2A) of section 142], or

               (c)   has concealed the particulars of his income or  furnished inaccurate particulars of [such income, or]

        [(d)   has concealed the particulars of the fringe benefits or furnished inaccurate particulars of such fringe benefits,]

he may direct that such person shall pay by way of penalty,—

       [(ii)   in the cases referred to in clause (b), [in addition to tax, if any, payable] by him, [a sum of ten thousand rupees] for each such failure ;]

     [(iii)   in the cases referred to in clause (c) [or clause (d)], [in addition to tax, if any, payable] by him, a sum which shall not be less than, but which shall not exceed [three times], the amount of tax sought to  be evaded by reason of the concealment of particulars of his income [or fringe benefits] or the furnishing of inaccurate particulars of such income [or fringe benefits].

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Posted 3 years, 8 months ago by CA Pulkit Sharma

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