Penalty on Receiving Loan or Deposit in Contravention of Section 269SS
Nature of Default
Penalty shall be imposed if a person accepts loan or deposit (or specified sum) in cash or prohibited mode in contravention of Section 269SS.
Quantum of Penalty
• The Assessing Officer shall levy a penalty equal to the amount of the loan or deposit or specified fund taken or accepted in contravention.
• Penalty shall not be levied if the assessee proves reasonable cause for the failure.