Offences and Prosecutions Chapter- 24
monitoring, tracking, reporting
or recording of sales, services
and similar business transactions
with the Board or its computerized
system, fails to get himself
registered under the Ordinance,
and if registered, fails to integrate in
the manner as required under law.penalty up to Rs. 1,000,000, and
if continues to commit the same
offence after a period of 2 months
after imposition of penalty as
aforesaid, his business premises shall
be sealed till such time he integrates
his business in the manner as
stipulated under sub-section (3) of
section 237A, as the case may be.237A
34.
A person required to integrate his
business as stipulated under sub-
section (3) of section 237A, who
fails to get himself registered under
the Ordinance, and if registered,
fails to integrate in the manner as
required under the law and rules
made thereunder.Such person shall be liable to payi) penalty of Rs. 500,000 for first
default;
ii) penalty of Rs. 1,000,000 for second
default after 15 days of order for first
default;
iii) penalty of Rs. 2,000,000 for third
default after 15 days of order for
second default;
iv) penalty of Rs. 3,000,000 for fourth
default after 15 days of order for third
default:
Sealing of business premises after 15
days of fourth default.Provided that if such person fails to
integrate his business within 15 days
of imposition of penalty for fourth
default, his business premises shall
be sealed till such time he integrates
his business in the manner as
stipulated under sub section (3) of
section 237A:Provided further that if the person
integrates his business with the
Board's computerized system before
imposition of penalty for second
default, penalty for first default shall
be waived by the Commissioner.”;237A
All the above penalties shall be levied in a consistent manner after passing an order in writing by the
Commissioner Inland Revenue, Commissioner Inland Revenue (Appeals) or the Appellate Tribunal.
Moreover, it is necessary that person on whom the penalty is being imposed, is provided an opportunity of
being heard.
If subsequently an order is revised by an income tax authority due to which the amount on which the
penalty was based is reduced, the penalty will also be reduced accordingly.
Explanation For the removal of doubt, it is clarified that establishing mens rea is not necessary for levying
of penalty under this section.
Return not filed within due date [u/s 182A]
Notwithstanding anything contained in this Ordinance, where a person fails to file a return of income
under section 114 by the due date as specified in section 118 or by the date as extended by the Board