Clause 442 imposes penalties for inaccurate or missing documentation in international and domestic transactions under Income Tax rules

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....Clause 442 of the Income Tax Bill, 2025, mirrors Section 271AA of the Income-tax Act, 1961, by imposing penalties for failure to maintain, report, or furnish accurate documentation related to international and specified domestic transactions. It prescribes a 2% penalty on the transaction value for defaults such as non-maintenance, non-reporting, or incorrect information, and a flat penalty of five lakh rupees for failure to furnish required information. While the substantive obligations and penalty amounts remain consistent with the earlier provision, Clause 442 omits the "without prejudice" clause allowing concurrent penalties under other sections, potentially limiting multiple penalties. The provision enhances compliance enforcement but r.........