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Section166
The Finance Act, 2003

Insertion of new sections 46B and 46C in Act 13 of 1989

In force As on 13 Oct 2026

Ministry Finance

Section 166 of the Finance Act, 2003 deals with insertion of new sections 46B and 46C in Act 13 of 1989. CHAPTER VII MISCELLANEOUS Insertion of new sections 46B and 46C in Act 13 of 1989.

CHAPTER VII

MISCELLANEOUS

Insertion of new sections 46B and 46C in Act 13 of 1989.

166. After section 46A of the Finance Act, 1989, the following sections shall be inserted, namely:—

‘46B. Penalty for failure to pay inland air travel tax to credit of Central Government.—If any carrier fails to pay to the credit of the Central Government, the inland air travel tax collected by him as required under the provisions of section 42, he shall be punishable with rigorous imprisonment for a term which shall not be less than three months but which may extend to seven years and with fine.

46C. Offences by companies.—(1) Where any offence under section 46B has been committed by a company, every person who, at the time the offence was committed, was directly in charge of, and was responsible to, the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:

Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in the said section, if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence.

(2) Notwithstanding anything contained in sub-section (1), where an offence under section 46B has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any negligence on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Explanation.—For the purposes of this section,—

(a ) "company" means any body corporate and includes a firm or other association of individuals; and

(b ) "director", in relation to a firm, means a partner in the firm.’.

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Section 166, The Finance Act, 2003.

Cross-references

Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.

This section refers to

  1. s. 42 Insertion of new section 80LA

Questions about Section 166

What does Section 166 of the Finance Act deal with?

Section 166 of the Finance Act is headed "Insertion of new sections 46B and 46C in Act 13 of 1989". CHAPTER VII MISCELLANEOUS Insertion of new sections 46B and 46C in Act 13 of 1989.

How do I find court cases under Section 166 of the Finance Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Finance Act 2003 166, section 166 Finance Act 2003, section 166 of the Finance Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

What should I read with Section 166 of the Finance Act, and has it changed?

Its own text turns on section 42 (Insertion of new section 80LA), so none of them can safely be read on its own.

When was the Finance Act enacted?

Finance Act was enacted in 2003. India Code records no commencement date for it. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Harvested from the Income Tax Department's own portal at incometaxindia.gov.in, which publishes the Finance Acts section by section. India Code carries none of them: its Central community holds the Acts that stand as general law, and a Finance Act is an amending and rate-fixing instrument. This page is not a substitute for legal advice.