Deductor Penalty of Rs. 10000 on submit wrong TDS/TCS Return
Now-a-days, Income Tax Officers are raising Legal Notice to Deductors who have submitted etds/etcs return in-correct. The corrections may be Pan Numbers, Amount of TDS of deductees and others. They are forcing to deductors to rectify their etds/etcs returns immeditaely otherwise penalty of Rs. 10,000/- is leviable for each defacult under towards penal provisions of section 272B read with secton 139A(5B), whereby a legal obligation has been cast upon the deductors to furnish correct PAN and TDS amount of the deductees. It is a good step by Income Tax Department in the Interest of deductee. After that refund of Income Tax of an assessee will be more easy.
Words of Penalty of Rs. 10000/- can be imposed as per Income Tax are detailed below.
272B. (1) If a person fails to comply with the provisions of section 139A, the Assessing Officer may direct that such person shall pay, by way of penalty, a sum of ten thousand rupees.
(2) If a person who is required to quote his permanent account number in any document referred to in clause (c) of sub-section (5) of section 139A, or to intimate such number as required by sub-section (5A) 12[or sub-section (5C)] of that section, quotes or intimates a number which is false, and which he either knows or believes to be false or does not believe to be true, the Assessing Officer may direct that such person shall pay, by way of penalty, a sum of ten thousand rupees.
(3) No order under sub-section (1) or sub-section (2) shall be passed unless the person, on whom the penalty is proposed to be imposed, is given an opportunity of being heard in the matter.]