§ 463
Chapter XXI — Penalties
Assessing Officer may impose a penalty of ` 100000 on such person. Penalty for furnishing incorrect information in reports or cert
Income-tax Act, 2025
Accountants, merchant bankers and registered valuers must pay a penalty of ₹10,000 for each report or certificate that contains incorrect information under the Income‑Tax Act.
The penalty is imposed by the Assessing Officer, Joint Commissioner (Appeals) or Commissioner (Appeals) when the error is discovered during any tax proceeding.
📜 Official text of the section +
463. (1) Any accountant or merchant banker or registered valuer, shall be liable to
pay a penalty of ` 10000 for any incorrect information in any report or certif-
icate furnished under any provision of this Act or the rules made thereunder.
(2) The penalty under sub-section (1) shall be payable for each such report or cer-
tificate.
(3) The penalty under sub-section (1) shall be payable on directions of the Assessing
Officer or the Joint Commissioner (Appeals) or the Commissioner (Appeals) where
the incorrect information mentioned in sub-section (1) is found by such authority
in the course of any proceedings under this Act.
(4) In this section,—
( a) “merchant banker” means Category I merchant banker registered with
the Securities and Exchange Board of India established under section
3 of the Securities and Exchange Board of India Act, 1992 (15 of 1992);
and
( b) “registered valuer” means a person registered as a valuer under section
514.
Penalty for failure to furnish statements, etc.
Plain-language summary — not the official text. Refer to the bare Act and confirm with a professional for your specific case.
Related sections
§ 439Penalty for under-reporting and misreporting of income§ 440[ (1) An assessee may make an application to the Assessing Officer to grant§ 441Failure to keep, maintain or retain books of account, documents, etc§ 442Penalty for Non‑Compliance with Transaction Reporting§ 443Penalty in respect of certain income§ 444Penalty for false entry, etc., in books of account