Section 14 in The Compulsory Deposit Scheme (Income Tax Payers) Act, 1974
14. Collection and recovery of compulsory deposit and penalty.
(1)When, in consequence of any order passed under this Act, any compulsory deposit or penalty has to be made or paid, the income- tax Officer shall serve upon the depositor a notice specifying the sum which has to be deposited or paid.(2)The sum specified in a notice under sub- section (1) shall be deposited or, as the case may be, paid within thirty- five days of the service of the notice at the place and with or to the person mentioned in the notice: Provided that on an application made by the depositor before the expiry of the said period of thirty- five days, the Income- tax Officer may extend the time for making the deposit or payment or allow tile deposit or payment to be made by instalments subject to such conditions as he may think fit to impose in the circumstances of the case.(3)If a depositor fails to make the compulsory deposit within the time allowed under section 5, or if he fails to deposit or, as the case may be, pay the amount which he is required to deposit or pay by notice under sub- section (1) within the time allowed under sub- section (2) (whether fixed originally or on extension), at the place and with or to the person mentioned in the said notice, the depositor shall be deemed to be in default.(4)Any arrear of compulsory deposit and any penalty imposed under this Act shall be recoverable in the manner provided in Chapter XVII- D of the Income- tax Act for recovery of arrears of tax and for this purpose the provisions of that Chapter shall apply as if references to the assessee therein were references to the depositor.
