Offences and penalties

Any assessee who, without sufficient cause, fails to comply with any of the provisions of the Act or the rules made thereunder shall, on conviction, be punished with fine which shall not be less than five hundred rupees but shall not exceed five thousand rupees, and when the offence is a continuing one, with fine which shall not be less than ten rupees but shall not exceed twenty rupees per day during the period of the continuance of the offence. Provided that, the prescribed authority shall first apply such excess towards the recovery of any amount due in respect of which a notice under section 9 has been served, and shall then refund the balance, if any.