Amendment of section 271.
98. In section 271 of the Income-tax Act, after sub-section (6), the following sub-section shall be inserted with effect from the 1st day of April, 2017, namely:-
“(7) The provisions of this section shall not apply to and in relation to any assessment for the assessment year commencing on or after the 1st day of April, 2017.”.
Notes on Clauses:
Clause 98 of the Bill seeks to amend section 271 of the Incometax Act relating to failure to furnish returns, comply with notices, concealment of income, etc.
The provisions of the said section provides for a penalty on account of failure to comply with a notice issued under sub-section (1) of section 142 or sub-section (2) of section 143 or failure to comply with a direction issued under sub-section (2A) of section 142 or for concealment of particulars of income or furnishing inaccurate particulars of income, is leviable.
It is proposed to provide that provisions of section 271 shall not apply to and in relation to any assessment for the assessment year commencing on or after the 1st day of April, 2017.
This amendment will take effect from 1st April, 2017 and will, accordingly, apply in relation to the assessment year 2017-2018 and subsequent years.
