{"id":29063,"date":"2022-08-10T11:56:08","date_gmt":"2022-08-10T06:26:08","guid":{"rendered":"https:\/\/itatonline.org\/digest\/?post_type=qa&#038;p=29063"},"modified":"2022-08-11T13:28:09","modified_gmt":"2022-08-11T07:58:09","slug":"show-cause-notice-for-claim-of-education-cess-as-expenditure-for-a-y-2020-21","status":"publish","type":"qa","link":"https:\/\/itatonline.org\/digest\/qa\/show-cause-notice-for-claim-of-education-cess-as-expenditure-for-a-y-2020-21\/","title":{"rendered":"Show cause notice for claim of Education Cess as expenditure for A.Y. 2020-21"},"content":{"rendered":"<p>Assessee is private limited co filed the Return of Income filed the Return of Income For 20-21 where in Education cess has been claimed as expenditure on the basis of decision of hon&#8217;ble BHC. Assessee co has received SCN as to why proposed variation should not be made on 8.08.2022. on following grounds<\/p>\n<p>1.Education Cess is not an allowable expenditure\/deduction u\/s 40(a)(ii) of the Income Tax Act, 1961.<\/p>\n<p>2) It has retrospective effect from 01.04.2005 i.e. A.Y. 2005-06.<\/p>\n<p>3) Penalty u\/s 270A is imposable on such claim for under reporting of income.<\/p>\n<p>4.Hence, you are requested to show sufficient cause as why the amount of Rs.4,26,095\/- would not be disallowed in your case as per provision of section 40(a)(ii) of Income Tax Act, 1961.<\/p>\n<p>5. Further, you are also requested to show sufficient cause as to why penalty proceedings u\/s 270A would not be initiated for under reporting of income for the reasons discussed above.<\/p>\n<p>is the action of AO is correct, if yes, how the compliance be made ?<\/p>\n<p>whether penalty U\/Sec. 270A is applicable?<\/p>\n<p>pl guide .<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[33],"qa_category":[23],"qa_tag":[663,149],"class_list":["post-29063","qa","type-qa","status-publish","hentry","qa_expert-advocate-shashi-ashok-bekal","qa_category-income-tax","qa_tag-education-cess","qa_tag-penalty"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/29063","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=29063"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=29063"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=29063"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=29063"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=29063"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}