Assessment of escaped tax

Assessment of escaped tax.-

1. (1) Where for any reason the whole or any part of the charges for lodging, charges for luxuries provided in a hotel for residents or others, charges for luxuries provided in a marriage hall or turnover of stock of luxuries has escaped assessment to tax or has been assessed at a lower rate than the rate at which it is assessable, the Luxury Tax Officer may, at any time within a period of five years from the expiry of the year to which the tax relates, proceed to assess to the best of his judgement the tax payable on such charges after issuing a notice to the proprietor or stockist and after making such enquiry as he considers necessary.
2. (2) In making an assessment under sub-section
3. (1) the Luxury Tax Officer may, if he is satisfied that the tax escaped from assessment is due to willful non-disclosure of the charges for lodging by the proprietor or turnover of stock of luxuries by the stockist, after giving a reasonable opportunity of showing cause, direct the proprietor or the stockist, as the case may be to pay, in addition to the tax assessed under sub-section (1), a penalty not exceeding one and a half times the tax so assessed.