Power to compound offences

The prescribed authority may accept from any person who has committed or is reasonably suspected of having committed an offence against this Act, by way of composition of such offence- 1[(a) where the offence consists of the failure to pay, or the evasion of, any tax payable under this Act, in addition to the tax so payable, a sum of money not exceeding one thousand rupees or double the amount of the tax payable, whichever is greater; and (b) in other cases, a sum of money not exceeding one thousand rupees.] Note : See Rule 55 of AP Entertainment Rules, 1939. 1 Act No.16 of 1985 has substituted the clauses (a) and (b) w.e.f. 7-9-1984.