https://www.taxtmi.com/caselaws?id=153447 Penalty for default in payment of advance tax under section 12-B(3) of the Karnataka Sales Tax Act is not automatic and must rest on a judicial assessment of all relevant circumstances, including the dealer's explanation and whether there was good or sufficient cause. The authority must consider whether the conduct showed conscious disregard or deliberate defiance of the statutory obligation; the maximum penalty is only an upper limit, not a fixed rule. On the facts accepted by the Tribunal, the slump in the tea market and inability to pay punctually negatived deliberate default or dishonest conduct, so the penalty was not lawfully leviable and the penalty orders were set aside. en-us Mon, 04 Jul 1983 00:00:00 +0530 Tue, 23 Jul 2013 16:32:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=153447 Penalty for default in payment of advance tax under section 12-B(3) of the Karnataka Sales Tax Act is not automatic and must rest on a judicial assessment of all relevant circumstances, including the dealer's explanation and whether there was good or sufficient cause. The authority must consider whether the conduct showed conscious disregard or deliberate defiance of the statutory obligation; the maximum penalty is only an upper limit, not a fixed rule. On the facts accepted by the Tribunal, the slump in the tea market and inability to pay punctually negatived deliberate default or dishonest conduct, so the penalty was not lawfully leviable and the penalty orders were set aside. Case-Laws VAT and Sales Tax Mon, 04 Jul 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=153447