Penal liability for inaccurate turnover particulars requires deliberate concealment, not a mistaken deduction claim or tax omission.

Penalty under section 15-A(1)(b) of the U.P. Sales Tax Act was confined to concealment or deliberate inaccuracy in turnover particulars, using turnover in its statutory sense. An incorrect claim for deduction or exemption, or non-deposit of tax while awaiting supporting certificates, did not by itself establish deliberate furnishing of inaccurate particulars. Where the account books were accepted and the return was based on them, the return could not ordinarily be treated as containing concealed or false particulars. Penalty was therefore not leviable on the facts, as the alleged inaccuracy related only to net turnover and not to deliberate false disclosure.

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Issues: Whether penalty under section 15-A(1)(b) of the U.P. Sales Tax Act could be levied for alleged inaccuracy in the return relating to net turnover, and whether the assessee's omission to deposit tax in the circumstances amounted to deliberately furnishing inaccurate particulars.

Analysis: The expression "turnover" in the penal provision was held to bear the statutory sense in which it is defined in the Act, and the provision was confined to concealment or deliberate inaccuracy in turnover particulars. Net turnover was treated as relevant only for determining tax liability, and not as the basis for penalising a dealer merely because a claim for exemption, deduction, concession, or supporting certificates was not ultimately accepted or produced in time. The Court further held that a mistaken claim of deduction, or non-deposit of tax while awaiting certificates, did not by itself establish deliberate furnishing of inaccurate particulars. Reliance was also placed on the principle that where account books are accepted, the return based on them cannot ordinarily be treated as containing concealed or deliberately false particulars.

Conclusion: Penalty could not be levied on the facts as the alleged inaccuracy was only in relation to net turnover and did not amount to deliberate furnishing of inaccurate particulars.

Ratio Decidendi: Penal liability under section 15-A(1)(b) arises only from concealment or deliberate inaccuracy in turnover particulars, and not from a merely incorrect claim or omission connected with net turnover or tax liability.

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