consequences of compounding of offences

[basu p]

Sirs/Madam,

 

Sec 79 of Karnataka VAT Act speaks of penalty for suppression..Whereas sec 82 speaks of compounding of offences.

Plz tell me the consequences of compounding of offences.  Do we have to pay the penalty as prescribed under sec 79 in addition to the compounding fees.  or it is enough if we pay compounding fine or fees.

AI Summary

Compounding of offences prevents prosecution or further penalty once prescribed compounding fee and duty plus interest are paid.
Under the compounding procedure the assessee must pay the sum specified by the prescribed authority, which may include duty and interest and shall not exceed the fine prescribed for the offence; once paid the dealer is not liable for prosecution or any additional penalty in respect of the compounded offence.