Prosecution Quiz

Which chapter of the Income Tax Act, 1961 contains the provisions for launching prosecution for offence committed by the Taxpayer.

• Chapter IX of the IT Act 1961

• Chapter XIV of the IT Act 1961

• Chapter XXII of the IT Act 1961

• Chapter XXIV of the IT Act 1961

Which of the following head is not considered as prosecutable offense.

• Provisions relating to search & seizure

• Provision relating to failure to furnish return of income

• Provision relating to showing income under wrong heads of income

• Provision relating to evasion and payment of tax.

The punishment for failure to provide necessary facility to inspect books of accounts (or) other documents u/s 275B for Tax authorities conducting search is

• upto 2 years RI (Rigourous Imprisonment)

• 3  months to 7 years (RI)

• 6 months to 2 years (RI)

• Life Imprisonment.

Who is the Sanctioning Authority for Prosecution u/s 279(1)

• Judicial First Class magistrate

• ACIT/DCIT

• ITO

• PrCIT/ PrDIT

Prosection includes to Institute (or) conduct legal proceedings against

• a person

• Organisation

• Company

• All the above

Willful attempt to evade tax resulting Non payment of Tax is a _______

a) Cognizable offence in which a police officer may arrest without warrant

b) Non Cognizable offence in which a police officer has no authority to arrest without a warrant

c) Non Bailable Offence

d) Bailable Offence

Which Of the following is true?

• All the above

• b and d

• a and c

• a and d

The offences under Income Tax Act 1961 under the chapter XXII is

• Compoundable by Judicial First Class Magistrate

• Non Compoundable by PCIT

• Non Compoundable by Principal DG (or) PrCCIT

• Compoundable by PrDG (or) PrCCIT (or) CCIT or DG

Where any person enters into benami transaction in order to defeat the provisions of law, the Benamidar and the beneficial owner shall be guilty of offence of Benami transaction, the punishment is

• Life Imprisonment

• 1 year to 10 year RI with fine

• 1 Year to 7 year RI with fine (which can extend to 25% of the Fair market value)

• 6 months to 5 year RI and fine (which can extend to 10% of Fair market value)

Which woud be the best process to launch prosecution

• Immediate filing of prosecution without any sanction

• Obtaining prior sanction from Principal Commissioner or Commissioner or Commissioner (Appeals) or appropriate authority as per Section 279

• Prosecution can be launched solely based on the order of High Court

• Prosecution against any amount irrespective of confirmation of penalty orders

Which of the following is true.

• Prosecution proceedings are separate & distinct from assessment (or) reassessment proceedings

• There is requirement specified in the Act that assessment proceedings should be completed before launching of prosecution 

• A case should be processed for launching prosecution when the offense is committed 

• It will be helpful for a successful prosecution if the penalty proceedings are dropped by ITAT