21 December 2011
Dear Sir, We have a Co. which are non operative since last 5 year & we have not filled IT Return for that period. (NIL Transaction) During C.Y company billed starting operation (billing for C.Y. would of Rs 10 Lacs) What is the liability of co. under IT Act for not filling IT Return. Pls reply Thanks:
21 December 2011
As per section 139(1) every company needs to file its return of income. Only exemption is given to Individual and HUF only if their Gross total income is less than the exempt limit of income. Even in case a company making loss is required to file its return.
Since yours is a company assessee you should definitely file the return. The only consequences i can see is the imposition of penalty of Rs. 5000 for each year of default under section 271F.
No matter your company has started billing in current year.
CAclubindia
