Section 447 — Penalty for failure to furnish report under section 172. Successor to s.271BA of the 1961 Act.
Section 447 is in Chapter XXI — Penalties, which runs from section 439 to section 472.
The section is empty. Its entire operative text has been omitted by Act No. 4 of 2026 with effect from 1 April 2026, and all that remains in the Act is the heading and the editorial note recording what stood there before. As it stood before omission, section 447 provided that if any person failed to furnish a report from an accountant as required by section 172, the Assessing Officer might impose a penalty of Rs. 1,00,000 on that person. There is now no penalty in this section for anything.
The provision existed to back the section 172 accountant's report with a fixed penalty for non-furnishing. Its omission removes that penalty; the section's text supplies no replacement.
| What | Figure | The condition on it | Where |
|---|---|---|---|
| Penalty for failure to furnish the section 172 report, as the section stood before omission | Rs. 1,00,000 | Imposable by the Assessing Officer on a person failing to furnish the accountant's report required by section 172; the provision was omitted by Act No. 4 of 2026 with effect from 1 April 2026 | Section 447, prior to omission |
Nothing is imposable under this section as it now reads. The obligation in section 172 to obtain and furnish an accountant's report is unaffected by the omission — only this penalty for failing to do so has gone. When reading older material that cites section 447 for a Rs. 1,00,000 penalty, check the date: the provision has no effect from 1 April 2026.
A person fails to furnish the accountant's report required by section 172 for a tax year falling on or after 1 April 2026. No penalty follows from section 447: Act No. 4 of 2026 omitted the whole of it with effect from that date, and nothing operative is left in the section. The Rs 1,00,000 that still appears beneath the section is the editorial note recording the provision as it stood before omission, not a live charge. The obligation in section 172 to obtain and furnish the report is untouched — only this penalty has gone.
You do not meet it at all any more. What a person still meets is the requirement in section 172 to obtain and furnish the accountant's report; the penalty that this section once attached to a failure was omitted with effect from 1 April 2026.
See the full 1961 to 2025 concordance.