51[Penalty for failure to answer questions, sign statements, furnish
information, allow inspection, etc.
18A. (1) If any
person,—
(a) being legally bound to state the truth of any matter touching the
subject of his assessment, refuses to answer any question put to him by a
wealth-tax authority in the exercise of his powers under this Act ; or
(b) refuses to sign any statement made by him in the course of any
proceedings under this Act, which a wealth-tax authority may legally require
him to sign ; or
(c) to whom a summons is issued under sub-section (1) of section 37
either to attend to give evidence or produce books of account or other
documents at a certain place and time, omits to attend or produce the books of
account or documents at the place and time,
he shall pay, by way of penalty, a sum which shall not be
less than five hundred rupees but which may extend to ten thousand rupees for
each such default or failure :
Provided that no
penalty shall be imposable under clause (c) if the person proves that
there was reasonable cause for the said failure.
(2) If a person fails to furnish in due time any statement or
information which such person is bound to furnish to the Assessing Officer
under section 38, he shall pay, by way of penalty, a sum which shall not be
less than one hundred rupees but which may extend to two hundred rupees for
every day during which the failure continues :
Provided that no
penalty shall be imposable under this sub-section if the person proves that
there was reasonable cause for the said failure.
(3) Any penalty imposable under sub-section (1) or sub-section (2) shall
be imposed—
(a) in a case where the contravention, failure or default in respect
of which such penalty is imposable occurs in the course of any proceeding
before a wealth-tax authority not lower in rank than a 52[Joint] Director or a 52[Joint] Commissioner,
by such wealth-tax authority ;
(b) in any other case, by the 52[Joint] Director or the
52[Joint] Commissioner.
(4) No order under this section shall be passed by any
wealth-tax authority referred to in sub-section (3) unless the person on whom
the penalty is proposed to be imposed has been heard, or has been given a
reasonable opportunity of being heard in the matter, by such authority.
Explanation.—In this
section, “wealth-tax authority” includes a Director General, Director, 52[Joint] Director, Assistant Director 53[or Deputy Director] and a Valuation
Officer while exercising the powers vested in a court under the Code of Civil
Procedure, 1908 (5 of 1908), when trying a suit in respect of the matters
specified in sub-section (1) of section 37.]
