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IT dept imposes fine on CAO

THE INCOME Tax department has penalised the chief account officer (CAO) PN Singh of the Kanpur Municipal Corporation for not obeying the summon order served by the IT department.

india Updated: Apr 09, 2006 00:03 IST

Official told to deduct Rs 10,000 from salary

THE INCOME Tax department has penalised the chief account officer (CAO) PN Singh of the Kanpur Municipal Corporation for not obeying the summon order served by the IT department.

As per the order, which was sent to the municipal commissioner Arvind Singh, the IT department has directed the municipal commissioner to deduct Rs 10,000 as penalty from the salary of the CAO.

As per the letter dated March 27, 2006, the penalty has been imposed on the CAO under Section 131 for not obeying the summon orders served by the IT department, Unnao.

According sources, GS Construction Company of Unnao had some dues to be paid to the IT department, Unnao. The same company was also working with KMC. In order to realise the dues from the company, the IT department asked the CAO to deduct the same amount and deposit in the Central government account. However, the CAO did not pay heed to IT notice.

Taking cognizance of the same, the IT department shot a letter to the CAO. However, according to sources, the CAO did not reply to notice. It was then the IT department served summon on the CAO, however, yet again, the CAO did not reply.

Taking serious note of the same, additional commissioner, Income Tax department Zone I, Lucknow penalised the CAO to pay Rs 10,000 for not obeying the summon of the department.

The penalty was imposed through an order dated March 7. Strangely, even after the penalty imposed on Singh, he did not pay the amount. It was only then the IT department shot a notice to the municipal commissioner asking him to deduct Rs 10,000 from his salary or any amount payable to him by the KMC.

As per the order, the municipal commissioner has been asked to ensure deduction of either 1/3rd of his salary amount or Rs 1000 whichever was less per month till Rs 10,000 penalty was realised from the CAO. The income tax officer P Chaurasia had sent the notice from IT department, Unnao.