(1)If the Assessing Officer, Deputy Commissioner (Appeals), Commissioner(Appeals), Chief Commissioner or Commissioner or Appellate Tribunal, in the course of any proceedings under this Act, is satisfied that any person--(b)has failed to comply with a notice under sub-section (2) or sub-section (4) of section 15; or(c)has concealed the particulars of any gift or deliberately furnished inaccurate particulars thereof, he or ii may, by order in writing, direct that such person shall pay way of penalty--(ii)in the cases referred to in clause (b), in addition to the amount of gift-tax payable by him, a sum which shall not be less than one thousand rupees but which may extend to twenty-five thousand rupees for each such failure;(iii)in the cases referred to in clause (c), in addition to any gift-tax payable by him, a sum which shall not be less than twenty per cent, but which shall not exceed one and half times the amount of the tax, if any, which would have been avoided if the return made by such person had been accepted as correct:Provided that in the cases referred to in clause (b), no penalty shall be imposable if the person proves that there was a reasonable cause for the failure referred to in that clause.Explanation.--Where any adjustment is made in the taxable gifts declared in the return under the proviso to clause (a) of sub-section (1) of section 15 and additional gift-tax charged under that section, the provisions of this sub-section shall not apply in relation to the adjustments so made.
