https://www.taxtmi.com/caselaws?id=70352 The ITAT Madras-D allowed the appeal in favor of the assessee regarding the penalty imposed under section 10A of the Central Sales Tax Act, 1956. The penalty was found not to be penal in nature due to the clarified interpretation of section 8(3)(b) by the Supreme Court, allowing for job contracts with third parties for manufacturing goods for sale. As the labels manufactured by the assessee were intended for sale by a sister concern, there was no violation of the section, and the disallowed deduction was deemed justified. en-us Sat, 30 Jul 1983 00:00:00 +0530 Fri, 15 Apr 2011 17:15:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=70352 The ITAT Madras-D allowed the appeal in favor of the assessee regarding the penalty imposed under section 10A of the Central Sales Tax Act, 1956. The penalty was found not to be penal in nature due to the clarified interpretation of section 8(3)(b) by the Supreme Court, allowing for job contracts with third parties for manufacturing goods for sale. As the labels manufactured by the assessee were intended for sale by a sister concern, there was no violation of the section, and the disallowed deduction was deemed justified. Case-Laws Income Tax Sat, 30 Jul 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=70352