https://www.taxtmi.com/caselaws?id=153365 Penalty under sales tax law is not to be imposed mechanically where the assessee collects additional tax on a bona fide expectation that turnover will cross the statutory threshold. Because the assessee had previously exceeded the limit and could reasonably anticipate a similar position, its advance collection of tax was treated as a genuine act rather than a culpable breach. Penalty proceedings under tax statutes are quasi-criminal, so the authority must consider reasonable cause and bona fide conduct before imposing penalty. On those facts, penalty was held not leviable and the setting aside of the penalty was in accordance with law. en-us Mon, 06 Jul 1981 00:00:00 +0530 Mon, 22 Jul 2013 18:16:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=153365 Penalty under sales tax law is not to be imposed mechanically where the assessee collects additional tax on a bona fide expectation that turnover will cross the statutory threshold. Because the assessee had previously exceeded the limit and could reasonably anticipate a similar position, its advance collection of tax was treated as a genuine act rather than a culpable breach. Penalty proceedings under tax statutes are quasi-criminal, so the authority must consider reasonable cause and bona fide conduct before imposing penalty. On those facts, penalty was held not leviable and the setting aside of the penalty was in accordance with law. Case-Laws VAT and Sales Tax Mon, 06 Jul 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=153365