Penalty for surcharge collection cannot be implied from incorporation of sales tax law without clear legislative language.

Section 3(2) of the Tamil Nadu Sales Tax (Surcharge) Act, 1971 incorporates the Tamil Nadu General Sales Tax Act, 1959 only to the extent necessary for levy and collection of surcharge under section 3(1), and not for the entire principal Act. Because section 22 is a penal provision, it could not be extended by implication to impose penalty for collection of surcharge in the absence of clear legislative language. Penalty under section 22 was therefore not leviable, and the State's revision failed.

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Issues: Whether penalty under section 22 of the Tamil Nadu General Sales Tax Act, 1959 could be levied for collection of surcharge under the Tamil Nadu Sales Tax (Surcharge) Act, 1971.

Analysis: Section 3(2) of the Tamil Nadu Sales Tax (Surcharge) Act, 1971 incorporates the provisions of the Tamil Nadu General Sales Tax Act, 1959 only in relation to the surcharge payable under section 3(1), as those provisions apply in relation to tax payable under the principal Act. The language used is restricted to the levy and collection of surcharge and does not extend to the entire gamut of the provisions of the principal Act. Since section 22 is a penal provision and the assessee had collected only surcharge, the court held that the provision could not be stretched to create liability for penalty in the absence of clear legislative language.

Conclusion: Penalty under section 22 was not leviable for collection of surcharge, and the revision by the State failed.

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