TMI Blog2022 (1) TMI 1265X X X X Extracts X X X X X X X X Extracts X X X X ..... Section 148 of the Act within the time limit specified therein the very allegation in the complaint itself indicate that the assessee has not filed their Return of Income for the Assessment Year 2014-15. The statement also indicates that the assessee has earned substantial income for which TDS has been deducted under Section 194C and 194H of the Income Tax Act during the financial year 2013-14. Show cause notice also issued on 26.07.2017. Despite the above Return has not been filed. Therefore, it is alleged that there is a wilful failure to file a Return. Considering the penal provision which makes it punishable under Sections 276-CC for non filing of Return and wilfully concealed its true and correct income. This Court is of the view t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he proviso to 276 CC of the Act. Therefore, his contention is that unless Assessment Order is passed under Section 143 and 148 of the Act, the prosecution is not maintainable. It is his further contention that unless the amount of tax payable exceeds Rs.3,000/- at the relevant point of time, the prosecution is not maintainable. 4. Whereas the learned counsel for the Respondent submitted that a person who willfully failed to file return of income which is required to furnish under sub-section (1) of the 139 of the Act or by a notice given under clause (i) subsection (1) of 142 or Section 148 or section 133(A), the prosecution is very much maintainable. 5. Heard both sides. 6. Section 276CC of the Income Tax Act reads as follows: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax Act, he can be prosecuted or in response to the notice issued to the assessee under Section 142 or 148 of the Act is also can be prosecuted. The first part deals with wilful failure to furnish the Return in due time as required under Section 139 of the Act. The second part of the Section 276CC deals with the failure to file a Return in response to the notice issued under section 142 or Section 148 of the Act. In both scenarios the prosecution is certainly maintainable. The proviso however, makes it very clear that if the tax payable does not exceed Rs.25000/- at present, or Rs.3,000/- at the relevant point of time of statute give a protection to the assessee from prosecution. Whereas proviso (1) protects the genuine assessee if the amoun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... genuine assesses. The proviso to Section 276CC gives further time till the end of the assessment year to furnish return to avoid prosecution. In other words, even though the due date would be 31st August of the assessment year as per Section 139(1) of the Act, an assessee gets further seven months time to complete and file the return and such a return though belated, may not attract prosecution of the assessee. Similarly, the proviso in clause ii(b) to Section 276CC also provides that if the tax payable determined by regular assessment has reduced by advance tax paid and tax deducted at source does not exceed Rs.3,000/-, such an assessee shall not be prosecuted for not furnishing the return under Section 139(1) of the Act. Resultantly, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dering the above provision of law, the very allegation in the complaint itself indicate that the assessee has not filed their Return of Income for the Assessment Year 2014-15. The statement also indicates that the assessee has earned substantial income of Rs.2,36,94,353/- for which TDS has been deducted under Section 194C and 194H of the Income Tax Act during the financial year 2013-14. Show cause notice also issued on 26.07.2017. Despite the above Return has not been filed. Therefore, it is alleged that there is a wilful failure to file a Return. 11. Considering the penal provision which makes it punishable under Sections 276-CC for non filing of Return and wilfully concealed its true and correct income. This Court is of the view that t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
