Penalties for Not Filing Tax Audit
Yes, there are penalties for not filing a tax audit report for doctors in India. The penalty depends on the amount of tax that is due and the reason for the non-filing.
The penalty for not filing a tax audit report is:
- 0.5% of the total turnover or gross receipts, whichever is higher, for the financial year, if the doctor’s total receipts for the financial year exceed Rs. 50 lakhs.
- Rs. 1,50,000, if the doctor’s total receipts for the financial year are less than Rs. 50 lakhs, but their profit is less than 50% and their total income is more than Rs. 2.5 lakhs.
In addition to the above, the doctor may also be charged interest on the unpaid taxes. The interest rate is currently 12% per annum.
The doctor may also be subject to criminal prosecution for non-filing of a tax audit report. The punishment for criminal prosecution is imprisonment for up to 7 years and/or a fine of up to Rs. 5 lakhs.
It is important to note that these are just the general penalties for not filing a tax audit report. The actual penalty may vary depending on the specific circumstances of the case.
If you are a doctor in India and you are not sure whether you are required to file a tax audit report, you should consult with a tax advisor.
Here are some additional things to keep in mind about the penalty for not filing a tax audit report:
- The penalty not waived if the doctor is able to prove that they did not have any taxable income.
- The penalty not waived if the doctor is able to prove that they were unable to file the tax audit report due to a reasonable cause.
- The penalty is not waived if the doctor is able to pay the unpaid taxes and interest before the due date.
To visit: https://www.mca.gov.in/
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