Income Tax Act, 1967.

• Permanent Page URL

Increased penalties in the case of body of persons.

503.—(1) Where the person mentioned in section 500 is a body of persons—

(a) the body of persons shall be liable to—

(i) in case the notice was given under or for the purposes of any of the provisions specified in column 1 of Schedule 15 and the failure continues after the end of the year of assessment following that during which the notice was given—a penalty of £1,000, and

(ii) in any other case—a penalty of £500,

and, if the failure continues after judgment has been given by the court before which proceedings for the penalty have been commenced, a further penalty of £50 for each day on which the failure so continues, and

(b) the secretary shall be liable to—

(i) in case the notice was given under or for the purposes of any of the provisions specified in column 1 of Schedule 15 and the failure continues after the end of the year of assessment following that during which the notice was given—a separate penalty of £200, and

(ii) in any other case—a separate penalty of £100.

(2) Where the person mentioned in section 501 is a body of persons—

(a) in the case of such fraud or negligence as is mentioned in section 501 (1)—

(i) the body of persons shall be liable to a penalty of—

(I) £500, and

(II) the amount, or, in the case of fraud, twice the amount, of the difference specified in section 502 (1), and

(ii) the secretary shall be liable to a separate penalty of £100, or, in the case of fraud, £200,

(b) in the case of any such fraud or negligence as is mentioned in section 501 (2)—

(i) the body of persons shall be liable to a penalty of £500, or, in the case of fraud, £1,000, and

(ii) the secretary shall be liable to a separate penalty of £100, or, in the case of fraud, £200.

(3) The preceding provisions of this section shall have effect subject to the proviso to section 169 (4) and the proviso to section 178 (1), but otherwise shall have effect notwithstanding anything contained in this Act.