(1) Where it is found during the course of any proceeding taken under this Act that any approved tax holiday entity has failed to comply with any condition specified in this Chapter, the Deputy Commissioner of Taxes shall not grant benefit of tax holiday to the approved tax holiday entity and determine the tax payable for such year in the regular manner by regular tax rate.

(2) Any such approved tax holiday entity may, within 1 (one) year from the date of approval of the cancellation order, apply in writing to the Board against the cancellation of such benefit, and the Board may, upon receiving such application, pass such orders thereon as it may deem fit.

(3) Notwithstanding anything contained in this Chapter, the Board may, by notification in the official Gazette, in the public interest, cancel or suspend fully or partially any exemption allowed under this section.