Prosecution for concealment or transfer of property to prevent tax recovery [Section 276]
- Nature of Default
Prosecution is attracted when a person fraudulently removes, conceals, transfers, or delivers any property or interest therein to prevent such property from being attached or taken in execution of a certificate for the recovery of tax
- Punishment
The offence is punishable with rigorous imprisonment for a term which may extend up to 2 years and shall also be liable to fine.
Immunity from prosecution may be granted by the Principal Commissioner/Commissioner, but it will be withdrawn if the assessee fails to meet the required conditions and according to CBDT guidelines, the offence under this provision is compoundable.