How is wilful evasion of tax treated under the Income-tax Act?
AAs a refundable default
BAs a civil dispute only
CAs a criminal offence
DAs a clerical error
Answer & Solution
Correct answer: C. As a criminal offence
Wilful evasion is a criminal offence and so invites prosecution, not just a financial penalty.
Keep practising Income Tax Department
Browse all Income Tax Department questions for CA Final, or explore more Taxation topics.
Related questions
Form 49A is the PAN application form for which applicants?Which pattern shows a PAN's layout (L is a letter, N a numeral)?Which fourth character in a PAN stands for a Hindu Undivided Family?Which letter marks a firm in the fourth position of a PAN?Under section 270A, the penalty on misreported income is what share of the tax?Which section deals with assessment of income escaping assessment?A normal return is filed under which section?Which section lets an assessing officer flag a return as defective?