The Commissioner may impose following penalty after giving reasonable opportunity of being heard, on a dealer or a person, as the case may be, for committing breach of the provisions of these rules:-

(1) Penalty for not filing return under rule 20(2)(a) by a company formed and registered under the Companies Act, 1956 shall not be less than Rs.1,500/- but shall not be more than Rs.2,000/-

(2) Penalty for not filing return under rule 20(2)(a) by a dealer other than a company formed and registered under the Companies Act, 1956 whose annual turnover exceeds Rs. 60 lacs shall not be less than Rs. 500/- but shall not be more than Rs. 1,000/-

(3) Penalty for not filing annual return in form 18 under rule 20(2)(b) by a company formed and registered under the Companies Act, 1956 shall not be less than Rs. 8,000/- but shall not be more than Rs. 10,000/-

(4) Penalty for not filing annual return in Form 18 or in form 18A as the case may be under rule 20(2)(b) by a dealer other than a company formed and registered under the Companies Act, 1956 whose annual turnover exceeds Rs. 60 lacs shall not be less than Rs. 4,000/- but shall not be more than Rs. 5,000/-

(5) Penalty for late filing acknowledgment in Form 17-A after filing return/annual return in form 17 and form 18 as the case may be, under rule 20(2)(d) shall not be less than Rs. 4,000/- but shall not be more than Rs. 5,000/-

Provided that the amount of penalty imposed under sub-rule (1) to (5) shall not exceed Rs.10,000/-

(6) penalty for not paying tax electronically under rule 36(7) shall not be less than Rs. 500/- but shall not be more than Rs. 1,000/- for each default, but shall not exceed Rs. 10,000/- in a year.

(7) penalty for not filing audit report in Form 50 along with annual return under rule 53(1) shall not be less than Rs. 8,000/- but shall not be more than Rs. 10,000/-

(9) penalty for breach of any provisions of these rules other than specified under sub rules (1) to (7) shall not be less than Rs. 200/- but shall not be more than Rs. 1,000/-