Section 467
Section 467: penalty for failure to comply with PAN provisions
Section 467 is a straightforward, flat-amount penalty for not complying with the Permanent Account Number (PAN) requirements set out in Section 262 - such as failing to obtain a PAN when required, or failing to quote it correctly where mandated.
What the section says
If a person fails to comply with the provisions of Section 262, the Assessing Officer may impose a penalty of ₹10,000 on that person.
Practical scope
Section 262 governs allotment and quoting of PAN - obtaining one where required (for instance, once income crosses the taxable threshold, or for specified high-value transactions), and quoting it correctly on returns, challans and other prescribed documents. A failure anywhere in that framework can attract this ₹10,000 penalty.
Frequently asked questions
What is the penalty for not obtaining or quoting PAN correctly?
₹10,000, imposed by the Assessing Officer for a failure to comply with the PAN provisions of Section 262.
Is the ₹10,000 penalty automatic?
The Assessing Officer "may" impose it, indicating discretion rather than an automatic, mandatory penalty in every instance of non-compliance.
Related sections
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