Income tax · Notice
Penalty show-cause: failure to comply with a notice or to furnish a statement (Section 274 r/w 272A)
A show-cause notice before a penalty of ₹10,000 for each default (refusing to answer questions or sign a statement, not attending or producing documents under a Section 131 summons, or not complying with a notice under Section 142(1) or 143(2) or a direction under Section 142(2A)), or ₹500 for every day a failure to furnish a statement, certificate or information continues (Section 272A(2)). What to do: identify the default alleged and the notice it refers to, then comply now, if the underlying notice is still open. The notice states the date — read it from the document.
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Key facts
A show-cause notice before a penalty of ₹10,000 for each default (refusing to answer questions or sign a statement, not attending or producing documents under a Section 131 summons, or not complying with a notice under Section 142(1) or 143(2) or a direction under Section 142(2A)), or ₹500 for every day a failure to furnish a statement, certificate or information continues (Section 272A(2)).
| Notice | Penalty show-cause: failure to comply with a notice or to furnish a statement (Section 274 r/w 272A) |
|---|---|
| Issued by | The Income Tax Department (the authority named on the notice) |
| Issued under | Section 274(1) r/w Section 272A, Income-tax Act 1961 |
| Income-tax Act 2025 | Section 471(1) r/w Section 465, Income-tax Act 2025 |
| What it asks of you | A reply, within the time allowed |
| Your time to act | The notice states the date — read it from the document. |
| If it is ignored | After the hearing the penalty order is passed: ₹10,000 for each default under Section 272A(1), or ₹500 for every day the failure continues under Section 272A(2), capped at the tax deductible or collectible for TDS/TCS statements. |
Time allowed
The notice states the date — read it from the document. The Act fixes no reply period: the show-cause notice sets the date (Section 274(1)); a hearing is mandatory (Section 272A(4)).
The date stated on your notice always wins.
More time: If the date cannot be met, use "Seek/View Adjournment" in e-Proceedings before it passes: it asks for the date sought and the reason, and issues a Transaction ID. Under faceless assessment the time may be extended on an application (Section 144B(1)(v)).
What to do now
Identify the default alleged and the notice it refers to
The penalty under Section 272A(1)(d) is imposed by the authority that issued the notice that was not complied with. Check whether that notice was served, whether a response or adjournment request was filed, and when.
Comply now, if the underlying notice is still open
A response to the original notice in e-Proceedings, with the reason for the delay, bears on the penalty.
File the reply in e-Proceedings by the date in the notice
On the e-filing portal go to Dashboard > Pending Actions > e-Proceedings, open View Notice, then Submit Response (partial or full, with remarks and attachments). A response cannot be edited or withdrawn after submission; a Transaction ID and an e-mail confirm it.
Check the Document Identification Number (DIN)
Every notice, order or letter should be referenced by a computer-generated DIN, in its body, in a covering document or in the covering e-mail (CBDT Circular 4/2026, which withdrew Circular 19/2019). A missing DIN is a point to raise with our expert team; by itself it does not invalidate an assessment that is referenced by a DIN in any manner (Section 292BA).
What a reply contains
A reply usually covers the points below. This is an outline, not a draft: our expert team writes it on your own records.
- Reference: the notice's reference number and date, your PAN and the period it covers.
- An answer to each point the notice raises, in the same order, saying what you accept and what you dispute.
- Evidence for each point: the returns, books and documents each answer relies on.
- Where it is filed: e-Proceedings on the income-tax e-filing portal.
- A request for a personal hearing, if you want to be heard before a decision.
If it is ignored
- After the hearing the penalty order is passed: ₹10,000 for each default under Section 272A(1), or ₹500 for every day the failure continues under Section 272A(2), capped at the tax deductible or collectible for TDS/TCS statements.
- The penalty order is appealable to the JCIT(A) / CIT(A) within 30 days of service of the demand notice (Sections 246A(1)(q), 249(2)(b)).
Official sources
Sources checked on 22 October 2026.
- Income-tax Act 1961, section 274 · read 22 October 2026
- Income-tax Act 1961, section 272A · read 22 October 2026
- e-filing portal help: responding to e-Proceedings · read 22 October 2026
Frequently asked questions
What is an income-tax Section 274 r/w 272A notice?
A show-cause notice before a penalty of ₹10,000 for each default (refusing to answer questions or sign a statement, not attending or producing documents under a Section 131 summons, or not complying with a notice under Section 142(1) or 143(2) or a direction under Section 142(2A)), or ₹500 for every day a failure to furnish a statement, certificate or information continues (Section 272A(2)).
How much time do I have to act on an income-tax Section 274 r/w 272A notice?
The notice states the date — read it from the document. The Act fixes no reply period: the show-cause notice sets the date (Section 274(1)); a hearing is mandatory (Section 272A(4)). The date stated on your notice always wins. If the date cannot be met, use "Seek/View Adjournment" in e-Proceedings before it passes: it asks for the date sought and the reason, and issues a Transaction ID. Under faceless assessment the time may be extended on an application (Section 144B(1)(v)).
What happens if I ignore an income-tax Section 274 r/w 272A notice?
After the hearing the penalty order is passed: ₹10,000 for each default under Section 272A(1), or ₹500 for every day the failure continues under Section 272A(2), capped at the tax deductible or collectible for TDS/TCS statements. The penalty order is appealable to the JCIT(A) / CIT(A) within 30 days of service of the demand notice (Sections 246A(1)(q), 249(2)(b)).
Related guides
General information from the provisions this notice is issued under, not legal advice. The dates and periods stated on your notice always win. Our expert team can read the full notice with you.