Offences and penalties

Whosoever,- (a) keeps in his possession or control any motor vehicle, in the State, without having paid the amount of tax due in accordance with the provisions of this Act in respect of such vehicle or keeps the motor vehicle for use without having proper licence or furnishes a declaration under section 4 or 4-A wherein the particulars required by or under this Act to be furnished, are not fully and truly stated; or (b) fails to stop the motor vehicle when required to do so by the authorised officer or obstructs any officer in the exercise of the powers conferred by section 16. shall, on conviction be punishable with fine, which may extend to a sum equal to twice the average monthly tax payable, in respect of such vehicle, or Rs. 5,000, whichever is more. (2) Whenever, the taxation authority determines the tax in respect of a transport vehicle under section 7-B or in respect of an owner of a motor vehicle under section 7-C, as the case may be, which such owner was liable to pay, and has not paid, the taxation authority, may after giving an opportunity of being heard, also direct that such owner shall pay, in the manner prescribed by way of penalty, a sum not exceeding five times the amount of tax so assessed subject to a minimum of Rs. 5,000. (3) If a person,- (a) fails to furnish declaration in accordance with the provisions of this Act, or (b) furnishes a declaration, wherein particulars prescribed to be therein, are not fully and truly stated. the taxation authority may after making such enquiry, as it deems fit and after hearing the person, if he desires to be heard, impose on such person any tax or additional tax for such quarterly period or periods, as the taxation authority may find that such person is liable to pay under the provisions of this Act and shall also impose a penalty equal to twice the amount of tax to which he is found liable. (4) Whoever contravenes or fails to comply with any of the provisions of this Act, or the rules made thereunder or any order or direction, made or given thereunder; in respect of the tax leviable on a transport vehicle, shall be liable to imposition of a penalty as may be prescribed: Provided that before imposing such penalty a reasonable opportunity of being heard shall be given to the person concerned. (5) Whoever contravenes any of the provisions of this Act or any rules made thereunder, and no penalty is provided for such contravention, shall, on conviction, be punishable with a fine which may extend to Rs. 500 and in the event of such person, having previously been convicted of an offence under this Act, or the rules made thereunder, with fine which may extend to Rs. 1,000. (6) If the tax due under this Act is not paid by owner of the vehicle within time prescribed in the rules, the taxation authority may, after giving such owner an opportunity of being heard, direct that such owner shall pay, in the manner prescribed by way of penalty a sum not exceeding the amount of tax due from him. (7) Whoever uses or allows to be used a personal vehicle as a transport vehicle for hire or reward, shall pay by way of penalty a sum of Rs. 2,000 per seat subject to a maximum of Rs. 30,000 for first offence and for any subsequent offence a sum of Rs. 4,000 per seat subject to a maximum of Rs. 50,000: Provided that the taxation authority may after affording to the person concerned a reasonable opportunity of being heard, impose the penalty specified in this sub-section.