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TDS · effective 1 April 2026

Section 271C under the
Income-tax Act, 2025

Penalty for failure to deduct tax at source

Income-tax Act, 1961
271C
Income-tax Act, 2025
448
LikelyReported in the research, but only as a note attached to another row or by a secondary commentary. Treat it as a strong lead and verify the destination section before citing it.

Topic

Penalty for failure to deduct tax at sourceTDS provisions under the Income-tax Act, 2025 (Act 30 of 2025).

What carried over

The substance of this provision was not changed by the re-write. What moved is the citation.

Distinct from the assessee-in-default machinery in s.398 (old s.201) and from the 30% expenditure disallowance in s.35(b)(i) (old 40(a)(ia)). The TCS counterpart, old 271CA, is reported as s.449.

Source

Listed in the notes to the confirmed s.271 row as part of the surviving lettered 271-series: '271C (TDS failure) -> 448'. Sourced to the ICAI publication, but not separately verified against the bare text of s.448 in this research.

Open the source document →

CBDT publishes its own correspondence utility on incometaxindia.gov.in and that is the authority. Spot-check anything high-stakes there before you rely on it.

Still cite section 271C for
Income earned up to 31 March 2026 — that is FY 2025-26, Assessment Year 2026-27, governed by the Income-tax Act, 1961 even though you file it during 2026.
Cite 448 for
Income earned from 1 April 2026 — Tax Year 2026-27 onwards, governed by the Income-tax Act, 2025. Tax deducted on payments made on or after 1 April 2026 must be reported under the new section 393 table references and new challan/return codes. Quoting a legacy section such as 194C or 194J triggers validation failure.
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271B · Penalty for failure to get accounts audited (tax audit failure)
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206C(1), 206C(1C), 206C(1F), 206C(1G) · TCS sub-clause serials inside the new single s.394 collection table
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This is a navigational aid for the 1961 → 2025 transition, not tax advice. It helps you find the right place in the new Act when you already know the old section. Confirm every citation against the bare Act and against CBDT's own correspondence utility before relying on it in a return, certificate, notice reply or opinion. The source text used here is the Act as passed, so any rate or threshold amended by the Finance Act, 2026 is not reflected; section numbers are unaffected.

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