Section 465 — Penalty for Default in Multiple Specified Defaults | ITA 2025

Section 465 of the Income-tax Act, 2025 corresponds to s. 272 A of the Income-tax Act, 1961. STATUTORY ARCHITECTURE INR 10,000 each for various specified defaults -- failure to answer questions, sign statements, attend, etc. PRACTITIONER…

Section 465 — - PENALTY FOR DEFAULT IN MULTIPLE SPECIFIED DEFAULTS

Section 465 of the Income-tax Act, 2025 corresponds to s. 272A of the Income-tax Act, 1961.

Statutory text — Income-tax Act, 2025

(1) A person shall be liable to pay a penalty of ` 10000 for each default or failure as mentioned below, if that person,—

(a) being legally bound to state the truth of any matter touching the sub- ject of his assessment, refuses to answer any question put to him by an income-tax authority in the exercise of its powers under this Act; or

(b) refuses to sign any statement made by him in the course of any proceed- ings under this Act, which an income-tax authority may legally require him to sign; or

(c) to whom a summons is issued under section 246(1), either to attend to give evidence or to produce books of account or other documents at a certain place and time omits to attend or produce books of account or documents at the place or time; or

(d) fails to comply with a notice under section 268(1) or 270(8) or fails to comply with a direction issued under section 268(5).

(2) A person shall be liable to pay a penalty of ` 500 for every day during which the following failures continue, if that person fails to—

(a) comply with a notice under section 175(7); or

(b) give the notice of discontinuance of his business or profession as required by section 320(3); or

(c) furnish in due time any of the returns, statements or particulars men- tioned in section 252 or 397(3) or 507; or

(d) allow inspection of any register referred to in section 255 or of any entry in such register or to allow copies of such register or of any entry therein to be taken; or

(e) furnish the return of income as required under section 263(1)(a)(iii) or

(iv) or to furnish it within the time allowed and, in the manner, required under section 263(1) and (2); or

(f) deliver or cause to be delivered in due time a copy of the declaration required under section 393(7); or

(g) furnish a certificate under section 395(4); or

(h) deduct and pay tax under section 416(3); or

(i) furnish a statement under section 392(5)(a); or

(j) deliver or cause to be delivered in due time a copy of the declaration required under section 394(3); or

(k) deliver or cause to be delivered the statement within the time specified in section 397(3)(b); or

(l) deliver or cause to be delivered a statement within the time as may be prescribed under section 397(3)(e); or

(m) deliver or cause to be delivered a statement within the time as may be prescribed under section 397(3)(g)(i).

(3) The amount of penalty shall not exceed the amount of tax deductible or collectible for failures in relation to the following:—

(a) a declaration required under section 393(7);

(b) a certificate as required under section 395(4); and

(c) statements under section 397(3)(b) or (e).

(4) Any penalty imposable under sub-section (1) or (2) shall be imposed—

(a) if the contravention, failure or default for which such penalty is imposable occurs in the course of any proceeding before an income-tax authority not below the rank of Joint Director or a Joint Commissioner, by such income-tax authority;

(b) in a case falling under sub-section (1)(d), by the income-tax authority who had issued the notice or direction referred to therein;

(c) in a case falling under sub-section (2)(f), by the Principal Chief Commis- sioner or Chief Commissioner or Principal Commissioner or Commis- sioner; and

(d) in any other case, by the Joint Director or the Joint Commissioner.

(5) In this section, “income-tax authority” includes a Principal Director General or Director General, Principal Director or Director, Joint Director and an Assistant Director or Deputy Director while exercising the powers vested in a court under the Code of Civil Procedure, 1908 (5 of 1908), when trying a suit in respect of the matters specified in section 246(1). Penalty for failure to comply with the provisions of section 254.

STATUTORY ARCHITECTURE

INR 10,000 each for various specified defaults -- failure to answer questions, sign statements, attend, etc.

PRACTITIONER PLANNING NOTES

Common in survey or search proceedings -- cooperate fully.

CROSS-REFERENCES

s. 439 (under-reporting or misreporting -- master penalty).
s. 440 (immunity application).
s. 469 or 470 (waiver or reasonable-cause).
s. 471 or 472 (procedure or limitation).

← All sections (537)Act 2025 hub

INCOME-TAX ACT, 2025	INCOME-TAX ACT, 1961
2025 provision	1961 counterpart
s. 465 -- Penalty for Default in Multiple Specified Defaults	s. 272A