Income Tax Act, 1961
Section 271C. PENALTY FOR FAILURE TO DEDUCT TAX AT SOURCE.
(1) If any person fails to – (a) Deduct the whole or any part of the tax as required by or under the provisions of Chapter XVII-B; or
(b) Pay the whole or any part of the tax as required by or under, – (i) Sub-section (2) of section 115-O; or
(ii) Second proviso to section 194B, then, such person shall be liable to pay, by way of penalty, a sum equal to the amount of tax which such person failed to deduct or pay as aforesaid.
(2) Any penalty imposable under sub-section (1) shall be imposed by the Joint Commissioner.