TaxTMI 
TaxTMI 
Compunding of offences
X X X X Extracts X X X X
X X X X Extracts X X X X
....ompunding of offences<br> Query (Issue) Started By: - Poornima Gupta Dated:- 25-9-2023 Last Reply Date:- 27-9-2023 Income Tax<br>Got 2 Replies<br>Income Tax<br>What is the meaning of compounding of offences under section 37 of Income tax act? Are there any examples to it, which can help me gain a better knowledge of what exactly it is? Reply By Charu Tyagi: The Reply: Compounding of an offence m....
X X X X Extracts X X X X
X X X X Extracts X X X X
....eans giving an opportunity to defaulter for settlement of charges and for prosecution against defaulter to avoid litigation proceedings For Example - 1. Failure to furnish return of income. 2. Certain income not disclosed in return which is later find in an assessment. 3. Failure to pay Tax deducted at source. Reply By Padmanathan Kollengode: The Reply: Dear Poornima Gupta Ji, Pls go throu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....gh the Compounding Guidelines issued by CBDT dated 16-09-2022 vide F No. 285/08/2014-IT(Inv.V)/196. to gain knowledge on compounding. you can find the same in below link: https://incometaxindia.gov.in/Lists/Latest%20News/Attachments/540/Compounding-Guidelines-dated-16.09.2022.pdf Following are the main points discussed therein are: 1. Compounding of offence is not a matter of right. 2. Prosecu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tion instituted under IPC cannot be compounded. 3. The guideline basically classifies offences as Category A and Category B for purpose of compounding. 4. Application has been made for compounding. 5. Procedure explained for compounding. 6. Compounding fee and charges as prescribed has to be paid.<br> Discussion Forum - Knowledge Sharing ....