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a) The assessee making the payment of sum of Rs.

69,75,949/- ( Rs. Sixty nine lacs seventy five thousand nine hundred forty nine) (as per annexure) in the form of compounding charges including the compounding fee, the prosecution establishment expenses and litigation expenses including counsel's fee within a period of 60 days from the receipt of intimation.

 the person seeking compounding of his offence has to make an application in the prescribed format;

 the outstanding tax interest, penalty and any other sum due has to be paid;

 the assessee has to undertake to pay the compounding charges including the compounding fee;

 prosecution expenses/litigation expenses/counsel's fee as may be determined has to be paid by the assessee; and  the assessee has to give an undertaking to withdraw any appeal, which the assessee has filed relating to the subject matter of the compounding application;

31. In respect of a wilful attempt to evade the tax under Section 276C(1) of the Act, 100% of the amount of tax sought to be evaded shall be the compounding fee. A maximum amount of Rs. 25,000/- can be included in the compounding charges for prosecution, establishment expenses, litigation expenses, including the counsel's fee, etc. Prosecution expenses, establishment expenses, etc., would be charged @ 10% of the compounding fee, subject to a minimum of Rs.25,000/-.

32. The guidelines also provide a format for an assessee to make a compounding application, which includes an undertaking to pay the compounding charges. Thus, the guidelines are exhaustive in nature and provide different compounding charges for different offences. The CBDT, while issuing the said guidelines, has obviously borne in mind the various established principles for compounding of offences including gravity of the offences, conduct of the parties, manner in which the offence is sought to be committed, etc. The Explanation to Section 279 clearly vests the CBDT with the powers to issue circulars, orders, instructions or directions "for proper composition" of offences. The circular does not suffer from any illegality. The guidelines do not reflect any exercise of power which is arbitrary or illegal, inasmuch as such guidelines are issued by authorities for compounding of various kinds of offences. Examples of offences which can be compounded include those under the Motor Vehicles Act, 1988 Negotiable Instruments Act, 1881 etc.