Reply to Penalty Notice under Section 270A
To,
[The Assessing Officer]
[Ward / Circle]
Ref: Notice No. [DIN / Reference Number] dated [Date]
Subject: Reply to penalty notice under Section 270A read with Section 274 for A.Y. [Assessment Year]
Respected Sir/Madam,
I, [Name of Assessee], PAN [PAN], am in receipt of the show cause notice proposing penalty under Section 270A for alleged under-reporting of income of Rs. [Amount] for A.Y. [Assessment Year].
I respectfully submit that there was no under-reporting or misreporting of income. The position adopted in the return was bona fide and supported by full disclosure of material facts; any addition, if sustained, arises from a difference of opinion on [issue] and not from any concealment. Reliance is placed on the exception under Section 270A(6).
In these circumstances, it is prayed that no penalty be levied. The supporting explanation and documents are enclosed, and a personal hearing may kindly be granted before any order is passed.
Yours faithfully,
[Name/Authorised Signatory]
[PAN/GSTIN]