Penalty u/s 271(1)(c) of IT Act 1961

[NIRMAL Kashyap]

ITO has issued order  impossing penalty u/s 271(1)(c)on 28/3/2012  taking prior approval of the Range Addl. Comm. of Income Tax due to non compliance of Show Cause notice issued  on 17/01/12 & 7/2/12.But I replied against the notice on 19/03/2012.Pls suggest how could I proceed in this case.

[Mahir S]

As order already issued now, there is no way except to file appeal within the stipulated period.

If dated acknowledgement for the reply to notice is available, then appeal may be filed for remanding the case back for fresh hearing, If no acknowledgement is available, then appeal may be filed for setting aside the order passed for imposing penalty. 

AI Summary

Penalty under section 271(1)(c): file an appeal; use reply acknowledgement to seek remand for fresh hearing. Penalty u/s 271(1)(c) was imposed after show cause notices; the taxpayer contends a reply was sent before the order. The recommended procedural response is to file an appeal: if a dated acknowledgement of the reply exists, seek remand for fresh hearing; if not, challenge the order for procedural defects and seek setting aside.