Section 271G is a penalizing section which says that if a person fails to furnish information or document pertaining to international transactions or specified domestic transactions under section 92D, then the Assessing Officer or the Commissioner Appeals may direct such person to pay by way of penalty, a sum equal to two percent of the value of international or specified domestic transactions for each such failure.
Section 92D: Maintenance and keeping of information and document by persons entering into an international transaction [or specified domestic transaction]
Sec 92D requires that, every person who has entered into an international transaction must maintain and keep such information and documents as is prescribed.
The Board may prescribe the period for which the information and documents must be kept and maintained.
The Assessing Officer or the Commissioner (Appeals) may require any person who has entered into an international transaction [or specified domestic transaction] to furnish any information or within a period of thirty days from the date of receipt of a notice issued in this regard document
| Section | Nature of default | Minimum penalty | Maximum penalty |
| (1) | (2) | (3) | (4) |
| 271G | Failure to furnish information or document pertaining to international transactions or (with effect from April 1,2013) specified domestic transactions under section 92D | 2 per cent of the value of international transaction [or specified domestic transaction] for each failure |
Reference:
Section 271G, 92D of the Income tax act, 1961-
Penalty for failure to furnish information or document under section 271G
If any person who has entered into an international transaction [or specified domestic transaction] fails to furnish any such information or document as required by sub-section (3) of section 92D, the Assessing Officer or the Commissioner (Appeals) may direct that such person shall pay, by way of penalty, a sum equal to two per cent of the value of the international transaction [or specified domestic transaction] for each such failure.
Maintenance and keeping of information and document by persons entering into an international transaction [or specified domestic transaction] under sec 92D
(1) Every person who has entered into an international transaction [or specified domestic transaction] shall keep and maintain such information and document in respect thereof, as may be prescribed.
(2) Without prejudice to the provisions contained in sub-section (1), the Board may prescribe the period for which the information and document shall be kept and maintained under that sub-section.
(3) The Assessing Officer or the Commissioner (Appeals) may, in the course of any proceeding under this Act, require any person who has entered into an international transaction [or specified domestic transaction] to furnish any information or document in respect thereof, as may be prescribed under sub-section (1), within a period of thirty days from the date of receipt of a notice issued in this regard:
Provided that the Assessing Officer or the Commissioner (Appeals) may, on an application made by such person, extend the period of thirty days by a further period not exceeding thirty days.