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Notice for non filling of return

Deven (Practice) (96 Points)

02 January 2015

my uncle got notice for non filling of return for AY- 2010-11, AY- 2011-12 & AY- 2012-13

He is government employee. as per his form-16, in all the years income is taxable but after deducting Investment deducted u/s 80c & TDS tax liability is NIL.

e.g. basic salary 400000, Deduction u/s 80c 100000, TDS deducted and deposited by employer 14420

as per notice he has to give responce online.

what should he do ? how can he give responce & what reason should be given for non filling of itr.

is it punishable act ??

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6 Replies

Dipjyoti Majumdar (CA in service & CS. dipmaj@ rediffmail.com ) (3468 Points)
Replied 02 January 2015

It is advisable to respond as directed in the notice. As per law, one has to file ITR if income exceeds the minimum amount not chargeable to tax. That there is no tax liability due to TDS is not sustainable for not filing ITR.

Regards,

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Z ( ) (2965 Points)
Replied 02 January 2015

Yes it may be punishable , although There will be no interest u/s 234 A,B,C as entire tax amount has been paid

Penalty would be as per S. 271F

271F. If a person who is required to furnish a return of his income, as required under sub-section (1) of section 139 or by the provisos to that sub-section, fails to furnish such return before the end of the relevant assessment year, the Assessing Officer may direct that such person shall pay, by way of penalty, a sum of five thousand rupees.

This would be for each A.Y

It doesn't appears that the assesee has reasonable cause for non filing of the return [ignorance of law is not an excuse]

It must be mentioned in the notice that how can he respond

NAVEESH DHAR (ADVOCATE- TAXATION ADVISOR) (427 Points)
Replied 03 January 2015

Don't worry you may mention the notification (fiven below) for not file the itr. AN INDIVIDUAL HAVING INCOME NOT EXCEEDING RS. 5 LACS FROM SALARIES/OTHER SOURCES FOR A.Y. 2011-12 IS NOT REQUIRED TOFILE RETURNU/S 139(1) NOTIFICATION NO. 36/2011 [F. NO. 142/09/2011 (TPL)], DATED 23-6-2011

PRAMOD KUMAR (Owner) (21 Points)
Replied 03 January 2015

I think above case not covered under notification 36/2011 because no Tds deducted and department can issue 16 form only where tds involve so not covered under above notification

Deven (Practice) (96 Points)
Replied 03 January 2015

Sir TDS is deducted and tax liability is NIL..

So from which assessment year i can get benifit of notification 36/2011.

what reason i can show while submitting online comliance.. can i give reason like return under preparation & then can i file ITR for those Assessment years simultaniosly ??

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vinodkumargupta (proprietor) (115 Points)
Replied 04 January 2015

You should reply the notice narrating the fact of the case. Maximum they can impose penalty u/s271F for non filing of return. At most your case would be reopen and a notice u/s 148 would be issued.