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<h1>Penalty under section 271AA: charge on international and specified domestic transactions; fixed sanction for failure to furnish information.</h1> Penalty under Section 271AA is equal to two percent of the value of each international transaction or specified domestic transaction entered into by the taxpayer. If a constituent entity of an international group fails to furnish information and documents as required under Section 92D(4), the Director General of Income tax (Risk Assessment) may impose a fixed penalty of five lakh rupees for that failure.