NEW DELHI: In a bid to check filing of incorrect returns by CAs, the tax authority will impose Rs 10,000 fine on such professionals to deter such act.
“Under Section 271J… We have entrusted responsibility with chartered accountants, valuers and merchant bankers who files audit, valuation reports and other things… So, if they file any incorrect information in the returns, they are also liable for a token penalty of Rs 10,000,” CBDT Chairman Sushil Chandra said.
The whole system is based on “a lot of faith on CAs and assessees and they have to be more responsible”.
“Various provisions exist to penalise the defaulting assessees in case of furnishing incorrect information. However, there exists no penal provision for levy of penalty for furnishing incorrect information by the person who is responsible for certifying the same,” the budget memorandum said. (AGENCIES)