When penalty under Section 272BB may be imposed?

Ans. Penalty under Section 272BB may be imposed in the following circumstances:

a. ​If a person, responsible for deduction or collection of tax at source, fails to apply for Tax Deduction and Collection Account Number (TAN);

b. If a person fails to quote TAN on the documents on which it is required to be quoted; or

c. If a person quotes a TAN which is false, and which he either knows or believes to be false or does not believe to be true.​