কর্তন, সংগ্রহ, ইত্যাদির ব্যর্থতার ফলাফল

(1) Where any person under the provisions of this Part—

(a)   fails to deduct or collect tax at source, or

(b)   deduct or collect tax at a relatively low rate or amount, or

(c)   after deducting or collecting the tax at source fails to deposit it in full or deposit an amount less than the amount of tax deducted or collected, in favor of the Government, or

(d)   fails to comply with any other form,

(e)   In that case such person will be treated as defaulting taxpayer.

(2) A person deemed to be a defaulting taxpayer under sub-section (1), for any other consequence under this Act, without prejudice to what may be liable, shall, as the case may be, be liable to pay the following sums, namely: -

(a)   the amount not deducted or collected; or

(b)   amount required to be deducted or collected and actually deducted or collected, equivalent to the difference between these two, or

(c)   an amount equal to the amount not credited to the Government after deduction or collection of tax; and

(d)   in case of failure to comply with any other regulations, not exceeding 10 (ten) lakh taka.

(3) In addition to the payment of the amount mentioned in sub-section (l), a person deemed to be a defaulting taxpayer under sub-section (l) shall be liable to pay an additional amount at the rate of 2% (two percent) per month on the basis of calculation of additional amount given in the table below on the amount mentioned in clauses (a), (b) and (c) of sub-section (2), namely: -

Table

(4) The period for computation of excess amount under sub-section (3) shall be from the due date of deduction or collection of tax at source to the date of deposit in the Government Treasury:

Provided that such period shall not exceed 24 (twenty-four) months.

(5) The Deputy Commissioner of Taxes shall give the person mentioned in sub-section (1) a reasonable opportunity of being heard and take necessary steps to recover from him the additional amount mentioned in sub-section (3) including the amount payable under subsection (2).

(6) Where the Government, Government Institution Authority, Project, Progamme, Organization, Unit or Government has financial or operational involvement in any such activity responsible for the deduction or collection of tax at source,

(a) the natural person or persons responsible for authorizing or permitting the payment; or

(a) the natural person or persons responsible for issuing clearances, registrations, licences, permits,  approvals or permits, shall be jointly and severally liable for the payment of tax, penalty and excess amount under this section.

(7)    Where the Government, Government Institution, Authority, Project, Programme, Organisation, Unit or any person or institution other than any such activity with which the Government has financial or operational involvement is responsible for the deduction or collection of tax at source, in that case

(a) the person or institution itself and

(b) the natural person or persons responsible for issuing clearances, registrations, licences, permits, approvals or permits —

The council shall be jointly and severally liable for the tax penalty and additional money under this section.